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Sat, Apr

City Hall’s Latest Delusions on Terror, Fraud, Fire … and Everything Else

@THE GUSS REPORT-Los Angeles Mayor Eric Garcetti and the Herb Wesson-led LA City Council exist in a delusional bubble of courtesy claps and trite aphorisms that face existential challenges in 2017 when the federal government and state legislatures across the U.S. turn even more Republican red now that this weekend’s Senatorial runoff in Louisiana is over.

How Los Angeles fares in this new world depends a lot on whether these city officials (accompanied by the supportively delusional City Controller Ron Galperin, City Attorney Mike Feuer, and the forces influencing them all) see LA’s challenges with clear, fresh eyes. But if last week and this week at LA City Hall are any indication, they won’t. 

On Tuesday, the day after the FBI warned of an overseas terror threat to LA’s subway system, Garcetti told the assembled media (protected by an abundance of militarized police nearby) that he is riding the subway to “let people know I'm not asking them to do anything that I wouldn't do myself." 

Garcetti was also accompanied by a contingent of (hardly) undercover LAPD, each identifiable by their untucked golf shirts with the outline of a gun underneath. Only when the Mayor by himself rides the train system, at night, from say MacArthur Park station, or on the Blue Line, will he experience subway dangers as does the public. As PBS’s David Nazar shows in this recent video, the MTA (where Garcetti is First Vice Chair) has an appalling lack of security that can’t even stop turnstile cheats. 

Despite the media circus, which garnered national television coverage, the LA City Council had nothing to say about the threat in its meetings which, on Wednesday, instead squandered 41 minutes of its 3-hour meeting kissing the ring of firefighter union rep Frank Lima, as he left his dual-salaried LAFD and union gig for a role with the national firefighter’s union. The city officials have all along been silent on Lima’s role in removing LAFD fraud whistleblower John Vidovich (as first exposed in my CityWatch articles and subsequently by LA Weekly and on KCBS) but each expressed profound love for Lima, who facilitated $350,000 in precisely timed campaign donations to Garcetti and themselves. Most ironic in the presentation was Jose Huizar, City Council’s unofficial in-house playboy, saying at the 1:05 minute mark of the meeting how he is going to miss “hanging out…and joking around” with Lima, and about…wait for it…character building. Even Vin Scully didn’t get this degree of love in City Hall. 

A day earlier at the LAFD Commission meeting, statistics regarding the backlog of thousands of fire inspections (a critical subject just days after the deadly Oakland inferno) were provided verbally, but not in writing. Department spokesperson Jeremy Oberstein said that it was done this way “at the request of a city official,” but could not explain which official requested it, why and when they will be available in writing. 

Robert Cherno, a land use expert who has long-followed the subject, wrote to Sue Stengel, the Garcetti-appointed LAFD Inspector General, according to her LinkedIn page: 

“Your failure to provide me with (updated fire inspection statistics)…leaves me wondering if said documents indicate that a large majority of inspections are still not being performed by your Department as required? The lack of any mention of said inspections during the presentation by staff yesterday at the Fire Commission public hearing has me very concerned, especially after the fire in Oakland the other day, which killed quite a few people.  No doubt that tragedy could have been prevented had inspections been done prior to the fire.” 

Then there was the City Council’s Wednesday discussion on Councilmembers Paul Koretz’s and David Ryu’s years-in-the-making mansionization cessation effort. It’s likely to ultimately fail because it has many of the same flaws as the City Council’s recent moratorium on these oversized houses on lots previously occupied by smaller mid-century homes. Here are just two of the many recently started “McMansions” in my own neighborhood. Paging Council District 5 candidate and Koretz opponent, Jesse Creed! 

And that’s just the damage City Hall did by mid-week. This coming week will be no different. 

On Sunday, San Pedro’s Councilmember Joe Buscaino called into The KFI Sunday Morning News with Elizabeth Espinosa on KFI AM-640 to talk about this week’s effort to decriminalize street vending, comparing entrepreneurial selling of unregulated street food and bootleg DVDs to LA’s high tech Silicon Beach. Nice try. Perhaps City Hall figures that since it hasn’t been able to stop the rampant illegal driver’s license and passport industry in places like MacArthur Park, they might find it easier to deal with the conundrum of homemade empanadas and socks. The problem, as is often the case in LA, is that it is a feel-good effort that makes for happy headlines without genuine public input – or the resources – to do it right. 

And therein is LA’s problem. It is almost always pits the feel good against doing things wisely and with proportionality the things that need to be done the most. 

Whether and how much longer that delusional bubble survives is anyone’s guess.

 

(Daniel Guss, MBA, is a contributor to CityWatchLA, KFI AM-640 and Huffington Post. Follow him on Twitter @TheGussReport. His opinions are his own and do not necessarily reflect the views of CityWatch.) Edited for CityWatch by Linda Abrams.

The Grinch that Stole Affordable Housing in LA

CORRUPTION WATCH-In by-gone eras, people would come from miles around to stand in the hot sun to listen to long political debates. The seven Lincoln-Douglas Debates of 1858 were held in each of Illinois’ Congressional districts. People came from hundreds of miles to listen to the two men set forth their political philosophies concerning the role of slavery and the nature of the federal union. 

Today, we would get a tweet. “Crooked Lincoln has a family of mice living in his beard.” 

It’s not that current day Americans in general and Angelenos in particular are dumb -- hmm, wait, a minute. That is the problem! The public is grossly ignorant of virtually everything. Let’s be real, it is much more fun to see what the Mad-Tweeter-in-Chief has tweeted about SNL than it is learn the principles of macro-economics. 

The Government’s Responsibility for Macro-economics. 

We know that Macro-Economics is the government’s duty because that is what Macro-Economics means -- the realm of economics where the government provides the sound parameters for the economy to function. 

There are two basic areas where the government’s parameters are indispensable: (1) The Price System and (2) The Business Cycle. Macro-Economics actually dates back to 1776 when Adam Smith wrote Wealth of Nations, which ended the Mercantile Era of economics – a fact unknown to Donald Trump because he has not read it on Twitter. 

Local Government’s Responsibility for The Price System. 

All governments are responsible for the Price System because at all levels of the economy everyone needs accurate information. The purpose of Supply and Demand is to set the proper value of everything. Unless buyers and sellers have accurate information, there is no way to know how much to pay for anything. Since the American public is a grand consumer of Fake News, it loves fake news about prices. 

LA City Attorney Mike Feuer Attempts to Save the Price System from the Xmas Grinch. 

Los Angeles City Attorney Michael Feuer is the spoilsport of our mass obsession to have false information fed to us about everything all the time. The City Attorney has sued four national retail chains for lying to the public. The City Attorney exposed that a gaggle of Grinches in the form of JC Penney, Sears, Kohl’s and Macy’s have been shoveling false advertising down our throats.

Retailers have known for years that people love a bargain. Thus, it’s a proven sales strategy to tell the public that some necklace used to sell for an exorbitant price but now they can get a great bargain at 75% off. Since most people cannot tell fake news or fake advertisements from real ones, the deceit operates wonderfully.   

The Macro-economic Role of the City Government. 

City Attorney Feuer realizes that he has not only a political and legal duty but also a moral duty to use his office to protect the Price System. I guess the voters didn’t realize when they elected the former executive director of Bet Tzedek Legal Services to be the City Attorney that he would care about human beings and justice rather than the profits of billionaires. 

As members of the public, however, we need to grasp the true significance of Michael Feuer’s lawsuit against deceptive advertising. Mike Feuer’s lawsuit goes to the essence of a government’s legitimacy to govern. In America, the power to govern derives from the consent of the governed. When an elite seizes control of the government and abuses that power to deceive and mislead everyone else, the government destroys its legitimacy. The government was formed to “promote the general Welfare, and secure the Blessings of Liberty to ourselves and Posterity.” [Preamble US Constitution] 

The well-being of every Angeleno rests upon the soundness of the economy, and the economy’s health rests upon a Price System which accurately transmits to everyone all the time true and correct information. Mike Feuer’s lawsuit is not only to prevent a few people from being ripped off by over-paying for a washing machine or a diamond necklace. Competitors who did not lie lost customers, and the longer the government allows the crooks and thieves to make greater profits, the harder it is for the honest businessman to stay in business. After a while, the honest are driven out of business by the crooked so that no one knows how much of a product’s “value” is real or how much is based on a pack of lies. In a city, state or nation where Fake News and fraudulent advertising rule the roost, the decent person suffers. 

That is why Attorney Mike Feuer was performing a Constitutional and moral duty when he stepped forward to bring honesty and justice to the Price System as the Xmas shopping season begins. Mike Feuer’s seasonal gift to us is not just a few honest prices, but it’s defending the integrity of the Price System itself. 

LA City Attorney Feuer is the Exception. 

City Attorney Michael Feuer is the exception for Los Angeles. The Price System for housing has been riddled with fraud, deception and manipulation for years with devastating impacts on the city. The bad news is that there is no prospect that the trend will be reversed. The good news is…well, there is no good news -- unless you’re a home builder in Texas or outside Nashville. Those are two of the places where new homes for Angeleno Millennials are being built. The destruction of the LA Price System for housing has driven employers away from Los Angeles. No one should be surprised that Family Millennials looking for decent jobs, a detached home which they can afford and quality education for the children are leaving LA. 

Distortion and Manipulation in the Value of LA Housing. 

The manipulation of the housing market in Los Angeles over the last 15 years has created a crisis. The two most visible features are homelessness and terrible traffic. Both are a reflection of the housing patterns which have been imposed on Angelenos through years of lies and misinformation. 

Because the housing market has many segments, discussion of housing prices is complex. For example, Garcetti’s policy to eradicate rent-controlled housing results in higher rents. With over 22,000 rent controlled houses destroyed, the lowest end of the housing market, except for card board boxes next to the freeways, is significantly reduced. Whenever the lowest prices are removed, the average price increases. This should be obvious to a 3rd grader. The average of 5, 6, 7, 8, 9 (avg. 7) will be lower than the average of 6,7,8,9 (avg. 7.5). Thus, the mere destruction of rent-controlled houses raises the mathematical average. 

Since all the evicted people do not end up on the street, those who do search for housing tend to increase the cost of housing just above the rent control level so that data becomes 7,7,8,9 (avg. 7.75). 

Then if we construct 150% more high-end apartments than we need, those putative rents are added to the averages so that the average rental increases. 7,7,8,9,9 (avg 8). However, with a 12% vacancy rate for the higher end apartments, we know that inflated rental prices are being added to the statistics. [source: HCIDLA 11-17-2015 report] 

These simple calculations show how just the destruction of rent controlled apartments and the construction of a glut of higher end apartments can result in a mathematical 15% increase in housing costs. The problem is that people pay what they believe is the correct price. That’s why it has been vital for years for the City to have been publishing accurate data about housing. Instead, the public has been receiving a constant stream of false information. 

Other polices have been pushing residential houses prices upwards based on speculation and not based on the value of a home for “living space.” The Spot Zoning, which a developer can purchase from his councilmember, means that residential properties are worth far more to a developer than to someone who wants to start a family. Likewise, Granny Flats increase the commercial value of an R-1 home, thereby escalating the prices of detached homes beyond their value as living space for a family. If the City had never allowed Spot Zoning, TODs, InFill projects, or encouraged Granny Flats, LA residential properties would be significantly lower, but Garcetti’s developer buddies would be less wealthy. 

The illicit distortion of housing values in Los Angeles has been both more complicated and more drastic than can be explained in a CityWatch article, but the underlying problem has been the manipulation of housing prices and a serious mis-allocation of housing resources to the extent that Los Angeles has made itself one of the least attractive urban areas in the entire nation for the emerging middle class. The professional and business service sector of the middle class rank Los Angeles as #60 on their list of desirable places to live. 

Due to the sustained attack on the detached single family home and the squandering of literally billions of construction dollars on Transit Oriented Districts (TODs like Bunker Hill and Century City) along with mixed-use projects, Los Angeles has foolishly made itself extraordinarily undesirable for the new middle class. The City has a net exodus of people over those who come here. Yet, LA continues to manufacture the myth that Los Angeles is still a Destination City. While Hollywood will lure thousands of youngsters to the Walk of Fame, the middle class is being driven out. 

Perhaps the most egregious attack on the Price System for housing came from Eric Garcetti when he ran for LA mayor by falsely claiming that he had “revitalized Hollywood.” As readers of CityWatch should already know, in January 2014, Judge Alan Goodman found that Garcetti’s claims for Hollywood were based on Lies and Myths, i.e., “fatally flawed data” and “wishful thinking.” 

If Los Angeles had a daily newspaper devoted to journalism, Los Angeles never would have deteriorated to this condition where it ranks at the top of the lists of bad urban areas and at the bottom of the lists of good urban areas. Instead, the LA Times’s objectives have been the promotion and protection of the elite, and everyone else be damned. In that environment, it has been relatively easy to destroy the Price System for LA housing.

 

(Richard Lee Abrams is a Los Angeles attorney. He can be reached at: [email protected]. Abrams views are his own and do not necessarily reflect the views of CityWatch.) Edited for CityWatch by Linda Abrams.

 

 

Why Don’t More People Run for Office? Because LA’s Bureaucrats Are Experts at Discouraging Our Participation

A FIRST PERSON REPORT--As some of you know, I have filed papers to run for the Los Angeles City Council in the 15th District. Those who know me best have asked, “What took you so long?” (Photo above: this article’s author, James Preston Allen.) 

Quite simply, I’ve been busy serving as an interested observer of this political circus for the past 35 years. 

In that role, I kept a sharp eye out for those with enough fire-in-the-belly or enough patience for the nonsense to pursue careers at City Hall. 

My frustrations with the current occupant of the 15th District council seat comes down to a laundry list of complaints that I share with many community members with whom I have spoken over the past few weeks while gathering nominating signatures. I will share that list once my nominating petition is qualified and I’m placed on the ballot. 

In the meantime, I’ll share some of the impediments that are set up to discourage any actual participation in the exercise of participatory governance. 

First is the remote and obscure location of the Elections Division of the Los Angeles City Clerk’s office, which is not at Los Angeles City Hall. 

The Election Division is in a nondescript industrial building off the 101 freeway east of downtown hidden behind Union Station on Ramirez Street at space # 300. Without MapQuest, you might not ever find it! 

It is beyond my comprehension why there isn’t a City Clerk’s office in every district of the city. But this is just one of many hurdles to actually running for public office. 

Another hurdle is the ethics commission’s myriad of conflict of interest forms -- forms that once completed makes you feel naked and completely circumspect about running for public office.

When you are done with the forms, they hand you 100 blank nominating petition forms with instructions in 12 languages on three sheets that must be kept stapled together. You have less than 30 days (depending on when you filed) to gather a minimum of 500 signatures. At the time, I thought, “What could be simpler?” 

After getting the nominating petition forms, I raced back to the Los Angeles Harbor to round up everyone I know to sign my petition only to find that a good half of the people in our district who could be registered to vote are not. 

Around 40 percent of property and business owners here are registered to vote someplace else like Palos Verdes, Carson or Long Beach -- not in of Los Angeles. 

It begins to sink in that a lot of those who have financial interests in the city are not of the city, but have great influence over it. 

The hunt for qualified registered voters is less daunting than Diogenes looking for an honest man in Athens. But it’s still a bit like searching for Waldo. The other option is using verified voter registration lists and going door-to-door like a Fuller Brush man. 

Still, as the petition sheets are filled up and the confusion of who is and who is not a Los Angeles registered voter is sorted out, one of my canvassers informed me that the librarian at the local library stopped him from collecting signatures on that property. 

Then, he hands me the Los Angeles Public Library’s “Rules of Conduct.” There are 15 rules in all. Number 12 on the list prohibits “petitioning…without the express permission of the City Librarian.”

I was appalled by the Library Commission’s edict as it totally flies in the face of common sense. So, I called the local librarian and complained. I was then told that only “the top dog City Librarian” can grant me dispensation, like the Pope, to petition outside a city library for the privilege of running for a city office. 

“Are you kidding me? What part of the First Amendment don’t you understand?” I asked incredulously. 

This is the very public institution that is dedicated to support free speech, free press and that inherently supports the right to petition our government and yet they have a policy prohibiting it.

I made five phone calls -- one to the head librarian, one to the city clerk’s office, another to the city attorney’s office, and lastly to the ethic commission. 

Ultimately, I got special permission from the main library to gather petitions outside a city owned public library. But it was only after I made a very impassioned plea for some sanity to the Los Angeles Public Library that was I granted permission to canvas for nominating signatures on public property. 

I will once again state my case. This was a First Amendment matter with free political speech, the right to petition our government and the free expression of these rights in the public domain at stake.

This matter is not just about my personal campaign. It’s about how the city itself stands in the way of public participation in our most cherished tradition of self-governance. That I, as an individual, have to “ask permission” from some distant bureaucrat to exercise our right of suffrage on public property is a fundamental abridgment of this right. 

The real hypocrisy is that this is being done by an institution whose very mandate is the conveyance of free speech through literary offerings. Consider this a formal protest that must be addressed immediately. 

These, my fellow citizens, are just some of the many issues that keep one from running for public office instead of sitting on the fence and watching the circus go by.

 

(James Preston Allen is the Publisher of Random Lengths News, the Los Angeles Harbor Area's only independent newspaper. He is also a guest columnist for the California Courts Monitor and is the author of "Silence Is Not Democracy - Don't listen to that man with the white cap - he might say something that you agree with!" He has been engaged in the civic affairs of CD 15 for more than 35 years. More of Allen…and other views and news at: randomlengthsnews.com.) Prepped for CityWatch by Linda Abrams.

Latino Business Owners Still Face Finance Redlining

LATINO PERSPECTIVE--Latinos who are born in this country are hardworking folks, and perhaps those who come here without papers take work as a family duty to them and their families. Work for Latinos is no joke, It’s how they survive, thrive and prosper. 

It’s also true that Latinos three times as likely as the general population to start their own business. In an interesting article in thehill.com Mike Lillis and Rafael Bernal confirmed this assessment. However, there is a report by the Stanford Latino Entrepreneurship Initiative (SLEI) that found that cultural and economic factors have hampered the growth of Latino-owned businesses at a cost of trillions of dollars. 

The lost growth amounted to a $1.38 trillion “opportunity gap” in 2012 alone. “Latinos tend to open businesses with “personal motivations” rather than as a result of identifying market opportunities.” And that because of this, Latinos are less likely to pursue capitalization opportunities that put full ownership at risk, limiting their prospects for growth, the SLEI found. 

The Hill reported that Hispanic business leaders say the lack of access to capital was accentuated by President Obama's regulatory measures in the wake of the 2008 financial crisis. 

“Hispanic businesses have it twice as bad. Under the Obama administration, the Consumer Financial Protection Bureau was so draconian that they over-regulated the financial services industry,” said Javier Palomarez, president of the U.S. Hispanic Chamber of Commerce (USHCC). 

Republicans in Congress have vowed to repeal the majority of Obama's economically significant regulations once President-elect Donald Trump takes office.  

Despite their limitations, Latino-owned businesses are still the fastest-growing segment of small businesses in the country, generating around $400 billion in annual revenue, according to the Congressional Hispanic Conference. What is also interesting is that Latina-owned businesses have led the charge. 

The number of businesses owned by Hispanic women grew 206 percent between 1997 and 2014, compared to 68 percent growth of women-owned businesses in general, according to a report by American Express. 

This all makes sense because many Latinos open businesses based on personal needs not business trends, that is why I say that for Latinos business is very personal. 

President-elect Trump has promised that he will create an environment in which those who want to open or grow a business will be able to do so, and those who want a job will be able to find it. Last week he said that Japanese tech billionaire Masayoshi Son will invest $50 billion in new start-ups in the United States. 

The businessman has pledged to create 50,000 new jobs in the Unites States over an unspecified period of time. Son, who is the founder and chief executive of SoftBank, one of Japan’s largest tech companies, owns the US the mobile carrier Sprint. 

Maybe what Mr. Trump can also do is to find a Latin American billionaire and convince him or her to do the same but focusing on Latino businesses. Or perhaps, deregulating the financial industry as Republicans have promised to do will do the trick. – Only time will tell.

 

(Fred Mariscal writes Latino Perspective for CityWatch. He came to Los Angeles from Mexico City in 1992 to study at the University of Southern California and has been in LA ever since. He can be reached at [email protected].)

-cw

Los Angeles and Other Sanctuary Cities Vow to Defend 'Basic Human Decency' From Trump

IMMIGRATION POLITICS--"If cities have to make a stand for basic human decency, then we're going to make that stand," wrote Somerville, Mass. Mayor Joseph Curtatone.

With Donald Trump's inauguration just over a month away, it will soon become clear whether he intends on using beginning days in the White House to try to follow through on his promise to end federal funding for sanctuary cities. Scores of such cities, however, are standing resolute, with officials from over three dozen of them publicly reaffirming their commitment to "basic human decency."

Sanctuary cities, like Los Angeles, sometimes called Fourth Amendment cities, as The Atlantic's CityLab has described, offer some protection to undocumented immigrants because they "keep local policing and federal immigration enforcement separate by asking local police to decline 'detainers'—non-binding requests from ICE asking for extended detention of inmates they suspect are deportable." 

In contrast to claims made by proponents of harsh immigrant crackdowns, research has shown that "designating a city as a sanctuary has no statistically significant effect on crime." In fact, it is harsh immigration policing that can negatively impact the whole community.

According to a new tally by Politico, out of a total of 47 sanctuary cities, "officials in at least 37 cities (listed below) have doubled down since Trump's election, reaffirming their current policies or practices in public statements, despite the threat of pushback from the incoming administration, and at least four cities have newly declared themselves sanctuary cities since Trump's win."

"There is no definitive list of U.S. sanctuary cities because of the term's flexible definition," the publication notes, and that itself may make it more problematic for Trump to ban the federal funds.

As Kica Matos, director of immigrant rights and racial justice at the Center for Community Change, explained to Fairness & Accuracy in Reporting last month, "sanctuary cities are understood as places that protect the undocumented immigrant and provide a haven for them and provide the opportunity for immigrants, irrespective of their status, to be welcomed, to be productive citizens in their respective communities, and to engage in the civic life of the cities."

So if you look at some of the anti-immigrant organizations, Center for Immigrant Studies has a broader definition of sanctuary city, where they define sanctuary cities as any city that is friendly towards immigrants. So where I live, for example, New Haven, Connecticut, it's considered a sanctuary city under their definition, because the city implemented a program to offer city identification cards to any resident of the city, irrespective of their status.

So if you go by that broader definition, there are hundreds of sanctuary cities in the United States, and many of them are already engaged in acts of defiance, publicly letting the federal government know that they will do absolutely everything they can to protect immigrants in their communities.

That broader definition seems to apply to Boulder, Colo., where city leaders are hoping to pass an ordinance before inauguration day to make it a sanctuary city—though whether or not the term 'sanctuary' actually ends up in the ordinance is unclear at this point.

Santa Ana, Calif., as Politico writes, is like the Vermont cities of Burlington, Montpelier, and Winooski in that it declared itself a sanctuary city post-election.

"The day after Donald Trump got elected, our kids were falling apart emotionally. They thought their parents would be deported," the Los Angeles Times quotes said Sal Tinajero, a Santa Ana City Council member and local high school teacher, as saying. 

"The reason you're seeing this push now is that us leaders ... want to tell them they are going to be protected. If they are going to come for them, they have to come through us first," Tinajero said.

Somerville, Mass., meanwhile, is among the cities on Politico's tally that have reaffirmed their commitments. In an open letter published last month, Somerville Mayor Joseph A. Curtatone wrote, "We will not turn our back on our neighbors. Our diversity is our strength. Since we became a sanctuary city [in 1987], our crime rate has dropped more than 50%."

So "for anyone who claims that cracking down on sanctuary cities has something to do with high crime or a stagnant economy, Somerville stands as a flashing, neon billboard for how wrong that thinking is," he continued.

"If cities have to make a stand for basic human decency, then we're going to make that stand. We saw a presidential campaign based on fear and a desire to ostracize anyone who could be categorized as different. That may have swung an election, but it provides us with no roadmap forward. Tearing communities apart only serves to tear them down. We're going to keep bringing people together, making sure we remain a sanctuary for all. We are one community. We've got values that work. We know what makes America great," Curtatone concludes.

Also among Trump's anti-immigrant promises is a pledge to deport "more than two million criminal illegal immigrants from the country"—which he clarified to mean people who haven't actually been convicted of a crime.

Politico's list of 37 cities that have reaffirmed their commitments to being sanctuaries is below:

Appleton, Wisconsin
Ashland, Oregon
Aurora, Chicago
Aurora, Colorado
Austin, Texas
Berkeley, California
Boston, Massachusetts
Cambridge, Massachusetts
Chicago, Illinois
Denver, Colorado
Detroit, Michigan
Evanston, Illinois
Hartford, Connecticut
Jersey City, New Jersey
Los Angeles, California
Madison, Wisconsin
Minneapolis, Minnesota
Nashville, Tennessee
New Haven, Connecticut
New York, New York
Newark, New Jersey
Newton, Massachusetts
Oakland, California
Philadelphia, Pennsylvania
Phoenix, Arizona
Portland, Oregon
Providence, Rhode Island
Richmond, California
San Francisco, California
Santa Fe, New Mexico
Seattle, Washington
Somerville, Massachusetts
St. Paul, Minnesota
Syracuse, New York
Takoma Park, Maryland
Tucson, Arizona
Washington, D.C.

(Andrea Germanos writes for Common Dreams … where this piece was first posted.)

-cw

Standards Board’s Accounting Change: As Useful as a Fruitcake

PERSPECTIVE--Accounting topics usually do not show up on the radar, especially in times when other news topics are red hot. There is, however, a conceptual transition worth noting with wide ramifications.

Good accounting is not just desirable; it is vital. Business and the general public require the best possible financial information in order to transact and invest in confidence.

Regardless, it makes sense for the cost of accounting changes to favorably correlate with the benefits.  For example, spending a fortune to analyze or report on an obscure, immaterial activity is hardly a sound course of action.  A cost vs. benefits standard should be applied when a widespread accounting change is entertained.

The largest accounting change in the last 10 years (perhaps one of the largest ever) is underway. It’s ASC 606. ASC stands for Accounting Standards Codification and is the source for what is commonly known as Generally Accepted Accounting Principles (GAAP).  666 might be a more appropriate code number.

The key objective of 606 is to create consistency for reporting revenue across all industries for customer contracts. Current GAAP is more industry specific. This amounts to a transition to  a one-size-fits-all approach from one which recognizes unique business practices.

There is much to say about the benefits of consistency, but plain vanilla does not necessarily deliver the disclosure the public needs in an increasingly complex world.

If anything, ASC 606 increases the complexity of evaluating customer contracts by requiring revenue determination at various points in time. Basically, the economic substance of the affected contracts remains the same, so it is mainly a matter of timing of when the revenue hits the books.

OK, not so bad, but the current method has been working well for a long time. (A side note: the Enron-type disasters of the past were due to lax compliance with internal controls.  No change in revenue recognition principles will prevent a recurrence. The objectives of ASC 606, as well as any other accounting change, are not intended to address fraud, abuse or lack of due diligence).

Is 606 worth it? The benefits are arguable. And for all the talk about consistency, some industries are exempt from the scope! Eventually, it is likely other exemptions will be made.  After all, industries and products are not static.

Companies have and will incur significant costs to implement it.  The sad part is no one really knows how much. There is no national tracking tool in place.

My guesstimate of the price tag is based on the ratio of accounting, IT and auditing costs to revenue, roughly 5%.  The aggregate revenue for S&P 1500 companies is $13 Trillion, so it works out to around $65 Billion, or about $43 Million per company, if you figure that major conversion efforts require an equivalent of around 10% of the  5%.  The cost will be disproportionately worse for smaller companies, and probably even worse for nonpublic firms.

Companies can make substantial improvements to reporting and control systems for that kind of money, improvements which can provide greater protection and quality of information to the shareholders and stakeholders than playing with the timeline for revenue recognition.

The Financial Accounting Standards Board (FASB) purports to consider the cost to the private sector of its decisions, but it missed the boat here. One author even suggested that ASC 606 was pushed forward to justify FASB’s efforts in the wake of its failed attempt to converge US GAAP with International Financial Reporting Standards – an objective that grew out of the Norwalk Agreement of 2002, the inspiration for 606. 

Fourteen years of futility comes at a pretty high price…and difficult to explain when you have little to show for it!  Reminds me of DWP’s decision to implement its new billing system rather than man up to the public and admit it would be a disaster.

The conversion, which for the largest companies started ramping up in earnest a couple of years ago, will run through 2017.  The implementation date is in 2018 (2019 for nonpublic companies).

Afterwards, addressing post-implementation glitches will undoubtedly cost a bundle. As cousin Eddy told Clark Griswald in Christmas Vacation about the Jelly-of-the-Month Club, “Clark, it’s the gift that keeps on giving the whole year through.”

In this case, years to come … and as useful a gift as fruit cake.

(Paul Hatfield is a CPA and serves as President of the Valley Village Homeowners Association. He blogs at Village to Village and contributes to CityWatch. The views presented are those of Mr. Hatfield and his alone and do not represent the opinions of Valley Village Homeowners Association or CityWatch. He can be reached at: [email protected].)

-cw

The Garcetti Administration Has Its Own Fake News

CORRUPTION WATCH-A grand assemblage of knaves, fools and moral Lilliputians rule the city Los Angeles. Do not expect that to change. 

Recently, a few Americans have shown concern for Fake News. They realize that Fake News has real consequences as when a fool shows up at a pizza shop with an automatic weapon to “self-investigate” Hillary Clinton’s role in a child abuse ring in Washington D.C. 

In Los Angeles, Judge Alan Goodman warned the public about our own form of Fake News: Information from the City of Los Angeles. In January 2014, Judge Goodman ruled that Eric Garcetti’s update to the Hollywood Community Plan was based on lies and myths, which Judge Goodman described in polite legalese, saying that the city’s planning was based on “fatally flawed data” and “wishful thinking.” 

When the City published stories about how Hollywood has been revitalized and that its population is growing at a robust rate, when in fact is was deteriorating and rapidly shrinking, this was Fake News. Based on the continuing Fake News that Hollywood is still the center of the universe and hordes of people are descending up the town, one huge mega-project after another is being unanimously approved the LA City Council. And the approvals are justified by the endless Fake News emanating from City Hall. 

Hollywood’s “official” population fluctuates as frequently as Donald Trump tweets. Just as no one can find the millions of illegal votes that were cast for Hillary Clinton to disguise the “fact” that Trump won the popular vote, no one can find the real Hollywood population. In its April 2006 Notice of Preparation for its latest Update to the Hollywood Community Plan, the Garcetti Administration claimed that the population was 206,000 people, citing “SCAG’s 2016 RTP” (that is, the 2016 Southern California Association of Government’s Regional Transportation Plan.) Fake News. The SCAG 2016 RTP has no data at all for Hollywood. The only “Hollywood” which the RTP mentioned is West Hollywood. 

Upon investigation, we discovered that SCAG had done some other demographic analysis for Hollywood’s population, but never found that Hollywood’s population was as high as 206,000 people. The highest number that can be extrapolated from the SCAG data was 204,700. When this Fake News was shared with the City, the Garcetti Administration chose to stick with the fake numbers. We know the reason. This Fake News supports the false need to construct all the mega-projects. 

Then in November 2016, mirabile dictu, the Garcetti Administration announced that Hollywood’s 2015 population was 210,511 people. Does that mean that the April 2016 NOP had missed 4,500 people or that between December 2015 and April 2016, Hollywood’s population had declined by 4,500? Don’t bother asking…it’s all Fake News! 

People are accustomed to Fake News. In fact, people prefer it. Megyn Kelley hit the nail on the head in 2012, when she doubted Karl Rove’s insistence that Mitt Romney was winning the presidential election by asking, "Is this just math that you do as a Republican to make yourself feel better, or is this real?" 

Megyn Kelley’s diagnosis was correct – people invent the news that makes them feel better, or in the case of Los Angeles, justifies the perpetuation of a criminal enterprise which we call the Los Angeles City Council. Oh, that LA had Megyn Kelly instead of the LA Times, whose motto is “All the news that the elite wants you to believe.” 

Poor Edgar Maddison Welch from Salisbury, North Carolina, who drove all the way to Washington to self-investigate the pizza parlor. At least Mr. Welch’s “self-investigation” placed him far ahead of the Angelenos who merely accept whatever Fake News gushes forth from City Hall. 

Fake News Has Real Consequences. 

While the false story about child-molesting at the pizza parlor was an extreme aggravation for its owner, the Fake News from LA City Hall has had a devastating impact on all of Los Angeles. In a report the Garcetti Administration never thought the public would find, the City admitted in November 2015, that in 2013, the last year for which it had data (why the 2 year lag?), it had constructed “150% [of the] units needed by above moderate income earners,” adding to the 12% vacancy rate of such apartments constructed in the last decade. The City said that a 5% vacancy rate was equilibrium. Generally, when the vacancy is 2.5 times equilibrium, one does not push ahead with plans to construct even more vacant housing. 

Why is LA City Hall so committed to Fake News? The main reason is that the City is run as a criminal enterprise whose function is to siphon off public money to make a few landowners very wealthy while everyone else suffers. 

This phenomenon is not new. Over 100 years ago in its 1915 Study of Street Traffic Conditions in the City of Los Angeles, civil engineers warned that a few land owners would want to restrict office and industrial usage to the core of the city in order to make themselves wealthy. But the engineers explained, with sound mathematics related to Los Angeles geography, that the city had to allow all segments of the community, offices, homes, industry, community and civic center to expand outwards in unison. In other words, decentralization was essential. 

Restricting the distribution of all segments of the community, however, resulted in massive projects to be built in areas like Bunker Hill, Century City, and Westwood while at the same time turning the Valleys into bedroom communities. Separating those dense office areas from the residential communities would then require expensive transportation projects to convey so many people from the 5,000 square mile county to a few tenths of square miles of the Bunker Hills, Century, City, Westwood, and now to DTLA and Hollywood. 

Like the serfs of the 1400s, Angelenos have come to accept this arrangement as the natural order of life. Should it be brought to the attention of Angelenos that their city leads in all the negative indicators and lags in all the positive indicators for quality of urban life, we have endless Fake News from City Hall to falsely assure us that we’re still the premier destination city. 

Will Angelenos Act Before it is too late? 

No. It already is too late. Besides, the criminal enterprise is firmly established and everyone wants it to continue. Look at the people throwing their hats in the ring to run of City Council in March 2017. How many are willing to give up the chance to become the Lord of their Council Fiefdom? None. 

Is there any City Council candidate who will relinquish the power to have each and every item he or she places on the City Council agenda unanimously passed? If so, please step forward. 

Nor is there any danger that the criminal enterprise where every developer gets unanimous approval for projects will go away soon. Judge David Fruin has declared that the City is above the law. 

According to this learned jurist, Penal Code 86, which criminalized the vote trading agreement that is the glue that holds the LA City Council together, is Non-Justiciable – beyond the power of the courts. It does not matter what laws the California State Legislature passes; the Los Angeles City Council does not have to follow any law unless it voluntarily chooses to do so. 

The Law May be Pernicious, but it is not Fake. 

The problem with placing the City Council above the law is more serious than a lone self-investigator showing up with an automatic rifle. Our infrastructure has crumbled, the homeless rate has escalated, the crime rate is out of control no matter how much Garcetti tries to have the LAPD fudge the data, the Family Millennials and the high-end employers are fleeing the city for places like the Texas Triangle. 

Alea jacta est.  The die has been cast for our future tax base which, for a generation going forward, will have lower skilled wage earners and a higher percent of children and elderly retired. Just as Julius Caesar’s crossing the Rubicon sealed the fate of the Roman Republic, Judge Fruin is sealing LA’s fate of being ruled by a criminal enterprise.

 

(Richard Lee Abrams is a Los Angeles attorney. He can be reached at: [email protected]. Abrams views are his own and do not necessarily reflect the views of CityWatch.) Edited for CityWatch by Linda Abrams.

Look to LA for Leadership in a Post-Trump World

GUEST WORDS--Under Lee Baca’s leadership people were racially profiled, women were molested, immigrants were deported, and there were many walls built to keep specific people away. Sound like a certain President-Elect? He also married someone who emigrated from Asia, had a self-proclaimed law-and-order reputation, gave celebrities special treatment, served with a second-in-command who was just as corrupt, and condoned a historically violent, racist organization without specifically admitting to personal acts of violence or racism. This organization was not the Ku Klux Klan, but the Los Angeles County Sheriff’s Department. 

So how did Los Angeles topple the oppressive power of former Sheriff Lee Baca after electing him to hold it? And how were we able to simultaneously form a Civilian Oversight Commission to put power in the hands of the people? Leaders emerged. 

On December 6, 2016, exactly 151 years to the day the 13th Amendment was ratified, former Sheriff Lee Baca is scheduled to face a federal judge and the prospect of 20 years in prison for obstruction of justice. Organizations like Dignity and Power Now are largely responsible for this, due to their uplifting the dialogue of formerly incarcerated people and building social and political pressure. 

Five years ago, a year before I put a hashtag in front of Black Lives Matter and sparked a global movement, I began leading a movement in Los Angeles. My brother had suffered a concussion after being severely beaten by deputies in the county jail, so I developed a performance art piece that sparked a coalition that shaped an organization, called Dignity and Power Now (DPN.) We would stand for hours outside the county jails and talk to people, a majority of them Black and Brown. Their stories of abuse were not being reported on the news, so we held press conferences. Solutions were not on the politicians’ agendas, so we showed up until they were. People wanted to end sheriff violence and implement accountability, so we demanded civilian oversight of the sheriff’s department. 

The first time the county supervisors voted on implementing a civilian oversight commission we showed up with 300 formerly incarcerated people who shared their stories of oppression and resilience. The supervisors voted 3-2 against it. We didn’t stop. We continued organizing, holding events, and meeting with supervisors and candidates. Four months later, on December 9, 2014, the Los Angeles County Board of Supervisors voted in favor of civilian oversight. 

The commission will be functional by January, and although it’s a huge step in the right direction, it is not perfect. They still need the power to subpoena the sheriff’s department and other agencies involved in custody operations. That would require a change to the county charter and a public vote.

The fact that there is former law enforcement, including a former LA County sheriff’s lieutenant, appointed to the commission raises serious concerns about whether it will protect incarcerated Black and Brown people, which is what the community and I have urgently fought for. And while we succeeded in electing a new sheriff, last year use of force in the jails went up 40%. We just elected Janice Hahn and Kathryn Barger to the LA County Board of Supervisors, giving it its first female majority and democratic supermajority, but just before that the board approved a new women’s jail and a new mental health jail, ignoring the research that has proven that jails can never be effective sites of care. 

There is more ground to cover that could have grave impacts for those criminalized and incarcerated under a law-and-order presidency. Every day the choices that Donald Trump makes stirs the country’s attention, but the leadership worth looking to isn’t that of high-ranking political figures -- it’s that of the people on the ground. If you look to Los Angeles you will find leaders creating law enforcement accountability and fighting for Black lives. If you look to Oakland, Minneapolis, Chicago, St. Louis, Baltimore, and Toronto you will find the same. 

This year people can associate December 6 as the day Lee Baca will go to trial, or the anniversary of the 13th Amendment, or as another day closer to when we will be subjected to a Trump presidency. Or, collectively, as a movement, we can choose to see it as another day that we will show up in our communities and we will lead.

 

(Patrisse Cullors is a Los Angeles-based artist, organizer, and freedom fighter. She is also the co-founder of #BlackLivesMatter. This piece first appeared at HuffingtonPost.com. Prepped for CityWatch by Linda Abrams.

 

Killer Mountain Lion Dodges Death Row … the Latest

ANIMAL WATCH--A marauding California mountain lion has clawed his way back from almost certain execution thanks to a kind-hearted alpaca owner. (See CityWatch story: ‘America’s Favorite Cat’.) [[

Los Angeles wildlife authorities suspect that the big cat, known as P-45, killed 11 alpacas and injured others in an attack near Mulholland Highway in Malibu in November. The beast ate only one of the animals.

“It seems to enjoy killing things,” noted alpaca owner Victoria Vaughn-Perling.

Neighbors believe P-45 may be responsible for the death of up to 65 pets and other domesticated animals in the area over the past year.

The California Department of Fish and Wildlife and the National Park Service had granted her permission to kill the 5-year-old mountain lion. 

But word of the permit angered environmentalists and triggered heartfelt appeals from animal lovers across the nation.

“Eliminating P-45 does not solve the problem, especially given there are at least four mountain lions in the Santa Monica Mountains that have killed livestock over the past year,” said Kate Kuykendall, acting deputy superintendent for the Santa Monica Mountains National Recreation Area. “Nor is P-45’s behavior abnormal or aberrant in any way. If animals are stuck in an unsecured pen, a mountain lion’s natural response can be to prey upon all available animals.”

Vaughn-Perling has now changed her mind about killing P-45 and agreed to let wildlife officials capture the male animal. They will decide whether to relocate the cat to a more remote location in the Santa Monica mountains or place him in captivity, her attorney told the Los Angeles Times.

Relocation may not be successful, however, because P-45 could seek out his old territory especially now that he “knows where the restaurant is,” said one of Vaughn-Perling’s neighbors.

Los Angeles County Supervisor Sheila Kuehl issued a statement thanking Vaughn-Perling for her decision to “spare the life of one of the precious few mountain lions left in our Santa Monica Mountains.”

But the clash between area residents and the cats won’t likely disappear any time soon.

Up to 15 mountain lions live in the Santa Monica Mountains between Highway 101 and the Pacific Ocean, according to a federal study.

The state Wildlife Commission approved a $7.1 million expenditure last month to purchase land in the area to provide a safe habitat for the animals. Some environmental activists are also hoping to raise funds for a bridge that wildlife could use to travel safely over the highway.

 

(Mary Papenfuss writes for Huffington Post … where this piece originated.)

-cw

DWP Reform: Making Fairness and Equality a Top Priority

GUEST WORDS--When the Los Angeles Department of Water and Power made its case to its 1.4 million customers for its latest rate proposal, staff made more than 80 presentations to many customers in Los Angeles. In these discussions, LADWP emphasized its commitment to providing clean and reliable water and power to all customers while maintaining competitive rates. LADWP leaders and staff explained – with transparency – the Department’s goals and its need for funding to accelerate the replacement of rapidly aging infrastructure, meet mandates to green our grid and expand local water supplies, and improve customer service. In the process, LADWP also received useful and important feedback from ratepayers of all customer sectors. Ultimately, the rate proposal was approved in March 2016, strongly supported by many elected officials and customers. 

But the work only began there. Approval of the rate proposal comes with several expectations, including meeting specific milestones and benchmarks that clearly define LADWP’s organizational goals and objectives. These key performance indicators will increase LADWP’s efficiency and goals of transparency with the ratepayers. While reporting on benchmarks and achievements is common among many public agencies and utilities, LADWP is going a step further by establishing the Equity Metrics Data Initiative (EMDI) -- a first for any utility in the nation. 

The EMDI is consistent with the Mayor’s various executive directives on gender equity, workforce and affordable housing as well as the City Council’s recently-adopted instructions on LADWP reform related to low income seniors, equitable clean energy solutions and low income customer response. The initiative will also enable the Department to weave Equity throughout the enterprise, and embed it as a cornerstone of LADWP management and Board best practices. 

“Equity,” which is defined as “fairness, impartiality and justice,” is essential in all of LADWP’s operations. As a core component of this principle, the Department adopted data-driven metrics that track, measure and report on how LADWP’s programs and services are provided to all of its customers. As the largest municipal utility in the nation, LADWP has made a firm commitment to ensure that LADWP’s services and operations reach all customers fairly and to vastly enhance customer engagement and service. 

The Board of Water and Commissioners, where I serve as Vice President, adopted this initiative in August 2016, following many discussions with stakeholders and a preliminary community meeting in July. In October, staff hosted another meeting with a broad range of community stakeholders to fine-tune the metrics. In November the DWP Advocacy group, which consists of Neighborhood Council leaders, was briefed. Further Neighborhood Council briefings are expected. At the December 6 Board meeting, the Board adopted the four major categories of the Equity Metrics, covering 15 key specific metrics that will be benchmarked and monitored. LADWP derived these 15 equity metrics from a menu of 50 equity metrics, the balance of which may be addressed in the next several years by the Commission. 

  1. Water and Power Infrastructure Investment. LADWP already collects considerable data on service reliability. However, to assure every customer and community in Los Angeles that LADWP is providing them with a safe, consistent supply of water and power, geographic data must be collected about water and power reliability, infrastructure improvement projects, and maintenance services. This category of metrics will track: the Power System Reliability Program, which details the replacement of critical power infrastructure like power poles, transformers and cables; the Water System and the replacement of mainlines, trunk lines and other water infrastructure; the likelihood of power failure and the duration of outages that occur, which will ensure that LADWP remains among the most reliable; and feedback about the quality of drinking water. 
  2. Customer Incentive Programs and Services. LADWP offers many programs to customers to help them save on their bills. The Equity Metrics Data Initiative will collect data and evaluate the equity of impacts of the following programs in geographic regions of the city, among socioeconomic subgroups and among multi family, affordable and single family housing ratepayers: Commercial Direct Install Program, Low Income and Lifeline Programs, Electric Vehicle infrastructure, Refrigerator Exchange Program, Home Energy Improvement Program, Turf Removal Rebates, Tree Canopy Program, and the Rain Barrel, Cistern and Water Tank Rebates. 
  3. LADWP will expand its existing data collection process for contracts and contractors to include more granular data that will provide information about the equity of contract allocation according to several metrics including: the number and dollar value of contracts awarded to women-owned, minority-owned, disabled veteran-owned and LGBT-owned businesses; business locations; industry category, etc. Equity in procurement can increase LADWP’s efficiency by encouraging increased competition among vendors.
  4. LADWP will expand its existing data collection framework to include information that will evaluate the equity of training and hiring practices according to the following metrics: gender, ethnic background, disabled veteran status, date of hire, residential location, educational level, etc.

When dynamics are observed that disproportionately or adversely affect particular communities or groups of ratepayers, LADWP will be able to make adjustments that improve fairness and equity throughout its service area for everyone they serve.

LADWP will report on the first set of EMDI findings in February 2017. The Department will continue to fine-tune the metrics and later add more to be monitored, to help ensure equitable service delivery and access to its programs and services. We should all stay engaged and supportive of LADWP’s commitment to transparency and accountability as it advances equity for all of its customers and communities. This is a vital and transformative initiative that will be achieved amidst LADWP’s consistent success in keeping our water running and our lights on, safely and reliably, for all of us.

 

(William Funderburk is Vice President of the Los Angeles Board of Water & Power Commissioners.) Prepped for CityWatch by Linda Abrams.

Council Finally Steps Up On Mansionization Issue … Are McMansions Now Dead?

SNAPSHOT ANALYSIS—(Here’s what David Zahniser reported in the LA Times on Thursday: ‘Spurred by years of complaints from neighborhood groups, the Los Angeles City Council voted Wednesday to seek new restrictions on “mansionization” — the practice of constructing houses that are far larger than those nearby. On a 13-0 vote, lawmakers asked City Atty. Mike Feuer to rewrite sections of two city ordinances that regulate the size of new homes in single-family neighborhoods and in hillside areas.’ We asked our ‘mansionization’ expert, Shelly Wagers, to make sense of what happened and answer the question: Is the McMansion Crisis now over? Here’s how she capsulized it:

Big picture, the Council took quick and decisive action yesterday to get amendments to the mansionization ordinances back on track.  Councilmember Koretz has shown consistent leadership on the issue, Councilmember Ryu continued to deliver on his campaign promises, and Council President Wesson, who had kept his powder dry on this one, stepped up big-time to sponsor the Motion the Council voted on yesterday. 

As they now stand, the amendments go a long way towards addressing the failures of the existing ordinances. The ratio used to set basic size limits is far more sensible, many self-defeating bonuses have been eliminated, and most hillside-specific issues like grading and hauling have been resolved. 

Only one issue remains troubling:  Front-facing attached garages.  Because they are uniquely damaging and because counting space within the walls is an eminently reasonable way to calculate the size of the structure, we would have liked to see all the square footage of front-facing garages count floor space.  Instead, 200 sq feet will remain uncounted.  The concern is not the 200 sq ft per se, it is rather that this “freebie” continues to incentivize (or at least reward) a singularly unfortunate design feature.  (For reference, I’m attaching the text of my comments on this point at yesterday’s hearing.)  It’s not clear at this time whether or not we will have an opportunity to tighten this loophole. 

BIG thanks to CityWatch, by the way, for providing the most consistent coverage of this issue of any media outlet in the region. The Council would never have taken action without strong pushback from homeowners and residents all over the city.  Activists deserve tremendous credit for forcing the issue.

+++++++ 

Here are Shelley’s comments from Council Meeting:

I’m Shelley Wagers from Council District 5, and I thank you for making mansionization a priority.  

The original Motion this Council adopted to amend the BMO identified attached garages as a uniquely damaging loophole.  Here’s why:

Attached garages add 400 square feet of bloat to a house.  

They eliminate the buffer that a driveway provides.

They use wide curb cuts that reduce street parking and destroy mature street trees.

They disrupt the look and feel of many LA neighborhoods.

Excluding attached garages is like weighing yourself with one foot off the scale.

CPC President David Ambroz put it this way:  “Square footage is square footage …”

No one is asking you to prohibit attached garages.  But they must count as floor space.

(Shelley Wagers lives in the Beverly Grove neighborhood and has been involved in anti-mansionization campaigns in Los Angeles for over a decade.)

-cw

Call Off the Dragnet: Impoundment and ‘Special Collections’ Lead to Blackmail and Extortion

NIX THE AUTO VU SYSTEM-On October 1st, at the direction of Mayor Garcetti, three Genetec AutoVu™ patrol vehicles were released into the flow of LA traffic like Trident submarines into the North Atlantic. 

Mounted on the vehicles were multiple SharpX automated license plate recognition cameras -- each capable of reading and capturing “thousands of license plates per shift” -- day or night -- then checking the plates against a database in real time, with vehicle occupancy counts also being an option as well as “silent” notifications of law enforcement when warrants are detected. 

The purpose of all this? Anti-terrorism? Preparations for a drug-trafficking sting? 

No. The purpose is parking enforcement. The AutoVu™ system is a tool for collecting unpaid parking fines, with a particular emphasis on tracking down vehicles eligible for impounding.  

The contractor who runs the program, Xerox State and Local Solutions (which lobbies the city aggressively through Englander, Knabe, and Allen,) gets paid a 2.5% commission by the City for all fees and penalties incurred by the individual late on his or her parking fines. Xerox gets $27 per citation on Special Collections. 

The gold standard of penalties is impoundment, by far the most lucrative infraction to impose upon Angelenos, as it costs the owner hundreds of dollars. 

By creating a program that incentivizes the contractor to get cars impounded, the Mayor has, in effect, put a bounty on the head of every vehicle owner in Los Angeles -- and by extension on the loved ones of that owner. 

The AutoVu™ system is a dragnet.  

Impoundment is not always caused by people not paying their parking tickets. It is a punishment often meted out unjustly to individuals who, for example, leave their car on the street for greater than 72 hours -- a rule not well-known to the public and never posted on street signs, as the City learned not too long ago in a lawsuit. 

The AutoVu™ system should be shut down. 

Data derived from a dragnet of license plates can be used for blackmail and extortion. Similarly, there is no downside for AutoVu “hunters” to make false enforcement claims -- especially on residents for whom English is not their first language. Inevitably, some percentage of those victims, not sure how to contest the impounding, will pay the fine.  

Life is hard enough without government sponsored profit seekers marauding around prying into the business of everyday residents. 

But from an economic view, it’s not hard to see the temptation for Mayor Garcetti in choosing to implement the program.  AutoVu™ is lucrative. As the brochure boasts, it took Fort Lauderdale just two months to recoup its investment.  

The “number of cars booted” was up 1400%” in that city -- 600 cars booted in just eight months, leading to a bounty of over $200,000. The revenue boost for Monroe Community College, another AutoVu™ client, was 750%. 

Mayor Garcetti needs the money, because he squandered millions of dollars defending against a lawsuit that asked for nothing more than that the City stop allowing Xerox to be the adjudicator of parking ticket appeals, given that Xerox is a private company that loses money whenever those appeals succeed. 

The Mayor lost the lawsuit on August 6, 2016 and so was required to hire City employees to replace the Xerox adjudicators. “Additional costs are anticipated,” the LADOT Director wrote.  

“Tickets should be used to manage parking, not as a revenue source, and that is what I am going to look to do,” Mayor Garcetti wrote, according to the Daily News during a chat session on the website Reddit shortly after being elected. 

So call off the dragnet, Mr. Mayor. Please.

 

(Eric Preven is a CityWatch contributor and a Studio City based writer-producer and public advocate for better transparency in local government. He was a candidate in the 2015 election for Los Angeles City Council, 2nd District. Joshua Preven is a CityWatch contributor and teacher who lives in Los Angeles.) Prepped for CityWatch by Linda Abrams.

Reinventing the Neighborhood Council System

15 CANDLES, 96 POINTS OF LIGHT--(Editor’s Note: This month marks the 15th anniversary of the certification of Los Angeles’ first Neighborhood Council. CityWatch is celebrating with a multi-month celebration of introspective articles and view points on how LA’s Neighborhood Councils came about, how they’re doing and how their future looks. This perspective by Tony Butka is just such an effort.)  

The December LANCC meeting was a free-wheeling event, going over past successes and generally talking about Neighborhood Councils and what they’ve become -- and shrunk into. One of the good things discussed was the fact that there are a lot of new faces in our neighborhood councils after the last election. 

Of course the flip side of these changes is the loss of institutional knowledge about the Neighborhood Council System. This reality, coupled with the observation that some of the “old timers” view of “how things should be” is not particularly useful to new Board members, prompted this piece. 

For context, back in August 2014, I wrote in CityWatch about the systematic marginalization of the City’s Neighborhood Councils. 

Here is a more succinct comparison of how the NC System started out vs. what it has become in 2016. 

Then and Now. 

Back then, DONE, the Department of Neighborhood Empowerment, had over 60 employees to help the Neighborhood Councils live up to their mandate; now there are around 20 on the staff, and it’s been as low as a dozen. 

Then, DONE staff helped the NCs do their own thing and learned together with the Neighborhood Councils; now the current staff has high turnover, don’t really know what they are doing, and keep reversing their “advice” after they go back and check with the Mothership DONE. 

Then the General Managers job was to provide support for the Neighborhood Councils, including providing them with meeting space and ongoing help; now the General Manager is simply a cheerleader for the Mayor, bouncing around doing his bidding. Just check out one of the recent email blasts.  

Then, the Neighborhood Councils could go their own way in establishing bylaws and Standing Rules; now the Neighborhood Councils are told what to do by the bureaucratically-bound BONC. (Bureau of Neighborhood Commissioners.) BONC just had a “Special Meeting” to spend our money on telling us what to do by setting up their own newsletter.  

Then, BONC recognized their role as helping the NCs in establishing boundaries and helping with elections; now, BONC acts as an alien Mothership, telling the NCs what they can and cannot do. 

Then, the NCs got $45,000 a year and the City processed their bills with a minimum of paperwork and delay; now, the Neighborhood Councils get $35,000 and can’t even get most of their paperwork processed within a year, since DONE has all of two or three accounting people to handle the increased paperwork of some 96 Neighborhood Councils. 

Then, the City Attorney rarely offered legal advice, and when they did, it was in writing with file numbers on it; now, the City Attorney doesn’t even bother to give advice in public, instead hiding behind a bogus ‘attorney-client privilege’ theory to cover up the fact that their so-called legal advice will not stand up to the light of day. Check out this one

My Friends, It is Time to Reinvent the Neighborhood Council System. 

By way of feedback from newer Board members, there seem to be at least two areas that drive them nuts. First, is all that Ralph M. Brown Act stuff and what they have to do to comply with it that takes forever. Second, was all of the time it takes to handle items that involve spending money. Between these two issues and the DONE staff telling them what they can and can’t do, Neighborhood Councils are hard pressed to get any real Neighborhood Council things done in the space of a meeting. 

Fair enough. So here are some practical suggestions. 

The Brown Act. 

Regarding the Brown Act, the only really big deal here is that you do have to post agendas at least 72 hours in advance of the meeting. These days that usually mean: (1) electronic posting and (2) physical posting. While the DONE requirement of canceling the meeting is not technically correct, don’t bother to fight City Hall on this one. Hint - make the posting place very handy for most of the Executive Committee. 

Regarding DONE’s other Brown Act “advice” on what you can and can’t do regarding a specific agenda item, you can do your thing and ignore DONE. Truth is, before anyone can do anything to a NC on these kinds of alleged violation, it can be fixed -- if indeed it really needs to be addressed at all. Here’s what the First Amendment Coalition has to say on the matter: 

“Sending a cure and correct demand letter is only appropriate when an action has actually been taken that needs to be corrected. In other words, if the Brown Act is violated yet no action was taken, then a cure and correct demand letter would not be sent. Rather, a person would turn to the courts for an order preventing future violations or would ask the district attorney to do so.” 

As far as I know, nobody has ever taken a Neighborhood Council to court. So, if DONE or a rep says you can’t or shouldn’t have done something, first tell them to give it to you in writing. They will have to go back to the Mothership and figure it out before deciding if they were actually right. Furthermore, unless it’s something of the magnitude that would require a cure and correct letter, who cares what they think? 

Along those lines, if you do something that excites DONE enough to have the City Attorney send you a “confidential attorney client” email, read it out loud in public at your next meeting. The City will tell you that if you waive the privilege and do this, you could be personally liable for litigation. Don’t believe a word they say. First, Neighborhood Councils are advisory only by statute, and hence there’s not much they can do that would expose anyone to litigation. Second, in the entire history of the Neighborhood Council System, I am unaware of any Board or Board member having ever been sued by anyone, except for one guy back in the day that stole money. The current City Attorney advice is just unethical intimidation. 

So much for the Brown Act and wasting a bunch of time catering to DONE instead of doing what you were elected to do -- outreach and keeping the politicians honest. Another suggestion that came out of the LANCC meeting that I like, was to use a Town Hall format for anything other than the minimum legally required Board meetings and simply avoid the Brown Act totally. 

The Money Stuff. 

Most Neighborhood Councils get tied up in knots over trying to expend the money that they get. Our own Glassell Park Neighborhood Council spent almost a whole year with their funds blocked because of a screw up by DONE itself. So, here’s some hard won wisdom. 

First, make sure everyone has taken the Funding Training that DONE requires, and then quickly have everyone except the Treasurer forget all about it. People get caught up over what the NC can and cannot do. It’s a sucker’s game. Do your thing and unless the Treasurer says you can’t, just do it. 

If DONE doesn’t like something, they won’t pay it for it anyway; and if they deny payment, demand that they put their reasons in writing so that your Board can discuss it. If they don’t respond at all (a DONE favorite), have the full Board send them a letter demanding an explanation. Their job is to help you, not hoard your money so that they can “sweep it” into the general fund or back into DONE’s budget. 

If you have ongoing payments for what the City should, by law, be paying for you -- like for a website, utilities, meeting space, etc. Set it up so that DONE has to pay those recurring bills and you don’t have to be bothered. It’s their job and if they don’t have enough staff to do it they need to hire more people, not thwart you from doing your job. 

As another suggestion, you could decide to only deal with financial matters every other Board meeting and use the rest of the time to do the people’s business. 

Final Thoughts. 

Since the issues of handling both the Brown Act and Money seem to be the primary complaints from new NC Board members, (who are simply trying to represent their community and act as a check and balance on the City Hall Monster,) this column seemed like a good beginning. Most folks do not get involved in a Neighborhood Council to become Brown Act attorneys, parliamentarians or accountants. In fact, if they have to do that, they will leave. 

See if these tips help make your NC lives easier and let you do the stuff your NC wants done. To be really bold, you might check out my recipe for radicals -- a five step plan to Take Back Our Neighborhood Councils.  

Anyone who has an idea or suggestion as to how to make the Neighborhood Council System work better for the troops instead of for the City Establishment, you can contact me at [email protected] 

(Tony Butka is an Eastside community activist, who has served on a neighborhood council, has a background in government and is a contributor to CityWatch. Edited for CityWatch by Linda Abrams. 

Trump’s Border Wall Hits Roadblock: Major League Sports

TRADE WINDS-Last week I asked Mexico’s Secretary of the Economy, Ildefonso Guajardo, whether he fears that a Trump presidency will revive the anti-Americanism that was once a staple of Mexican life but receded to negligible levels over the past two decades.

Surprisingly, his answer was all about a Monday Night Football game played less than two weeks after the election. Namely, the first-ever regular season Monday night game played outside the United States, in Mexico City’s iconic Estadio Azteca. The Oakland Raiders beat the Houston Texans before a sellout crowd of nearly 80,000 fans, but what Guajardo found most telling was the moment before the game when the anthems of both countries were played.

Guajardo explained that the NFL hesitated before playing the U.S. anthem in the Azteca for fear of how the crowd might respond, live on ESPN, but at the end of the day the league went ahead. And with the exception of a few scattered boos, the Mexican crowd’s response was gracious and respectful. Guajardo said this was a hopeful moment—that positive attitudes toward people on the other side of the border, often acquired through first-hand experience, can transcend political differences or efforts by demagogues to distort the essential truth of our mutually beneficial North American partnership.

One can only hope. The stark reality is that Donald Trump won the presidency by running against Mexico. For a candidate with a short attention span and malleable policy stances, his views on Mexico throughout the long presidential campaign were remarkably consistent and sustained. Mexican immigrants are rapists who must be deported; the North American Free Trade Agreement is a disaster that must be torn up; U.S. companies opening plants in that country are treasonous; indeed, Mexico is so dodgy, we need to build a massive wall along the 2,000-mile border. And guess who’s going to pay for it?

He’s so glad you asked.

Forgive Mexicans if they end up taking it all a bit personally. Mexico has become a far more accommodating and friendlier neighbor —more of the middle class, democratic, open-to-the-world country Washington always wanted—in the two decades since NAFTA went into effect. But you hardly ever see this acknowledged in the U.S. media, or politics. Instead, in the Trump campaign narrative, Mexico was portrayed as the leading villain standing in the way of making America great again.

One big question is whether Trump really believes his own anti-Mexico vitriol and is determined to act upon it, or whether he simply peddled it as part of a convincing “enraged populist on campaign trail” TV performance. On the other side of the border, a related big question is whether the damage has already been done, whether the mere act of electing such an anti-Mexican president will tarnish the United States in Mexican eyes for a generation to come. Keep in mind there are plenty of populist Mexicans politicians eager to match Trump’s xenophobic nationalism for their own gain, especially as Mexico gears up for its 2018 presidential election.

One big question is whether Trump really believes his own anti-Mexico vitriol and is determined to act upon it, or whether he simply peddled it as part of a convincing “enraged populist on campaign trail” TV performance.

In the meantime, I take heart at the outbreak of sports diplomacy like the Monday Night Football game.

On the Friday night of election week, the U.S. and Mexican national soccer teams met in Columbus, Ohio for a World Cup qualifying match. This has become one of the most heated regional rivalries in the world’s leading sport, and a World Cup qualifier doesn’t require a seismic political event to ratchet up the level of intensity.

Still, on this occasion it was for the American sportsmen to worry that politics (and Trumpian-style invective about our southern neighbor) might rear their ugly head in a U.S.-Mexico showdown coming three days after the election. Michael Bradley, the U.S. captain, eloquently said before the game: “I would hope our fans do what they always do, which is support our team in the best, most passionate way possible. I would hope they give every person in that stadium the respect they deserve, whether they are American, Mexican, neutral, men, women, children. I hope every person that comes to the stadium comes ready to enjoy what we all want to be a beautiful game between two sporting rivals that have a lot of respect for each other, and hope that it’s a special night in every way.”

It ended up being a more special night for Mexico, which won 2-1. Politics was a subtext of the match (I know of Mexican-Americans who usually root for the U.S. who couldn’t help but root for Mexico in post-electoral solidarity), but there were no chants about building a wall or mass deportations.

In January, the Phoenix Suns are playing regular-season NBA games against the Dallas Mavericks and San Antonio Spurs in Mexico City. Much like the NFL, with its estimated 20 million avid fans in Mexico and talk of a possible franchise there, the NBA doesn’t see America’s neighbor to the south as the poor, conniving disaster of a country depicted in the recent election. Instead, American pro basketball is treating Mexico as a venue for future growth: a dynamic market with an expanding middle class and an appetite for American goods, culture, and entertainment. As do the U.S. cities these NBA teams represent, all of whom are organizing events alongside the games to try to attract more Mexican investment, trade, and tourism.

Mexico is the second largest buyer of U.S. goods in the world, a market whose importance to most Fortune 500 companies cannot be overstated. These companies increasingly see North America as one integrated manufacturing platform too, a manufacturer that is more competitive with other parts of the world as a cohesive unit. Politicians bash companies like Ford for opening plants in Mexico, but 40 percent of the components of the goods imported from these plants are produced in the U.S., demonstrating how porous the border has become as an economic matter, and just how seamless the back-and-forth is within North American supply chains.

One underappreciated danger for both American and Mexican workers is that companies will be spooked by populist protectionism and take more of their global manufacturing out of North America altogether.

Back in the realm of sports diplomacy, one way for North Americans to transcend the ugliness of politics and assert a shared identity would be by hosting a World Cup together. The 2026 World Cup is the next one to be awarded, and the North American region is a strong contender, given the tournament’s traditional rotation among continents. Both Mexico and the U.S. are expected to submit compelling bids.

There has also been talk throughout the year of a potential joint U.S.-Mexico bid; World Cups are typically played in eight host cities, and there’s the precedent of Japan and South Korea sharing the 2002 Cup. But that talk was followed by speculation that Trump’s election makes a joint bid less likely.

It would be a shame to abandon the idea on account of politics. Quite the contrary: A shared North American World Cup (can we include Toronto too?) is needed, now more than ever.

(Andrés Martinez is the executive editor of Zócalo Public Square  … where this perspective was first posted.)

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Why Brown’s Choice of LA’s Becerra for AG is Brilliant

CALIFORNIA POLITICS--Gov. Jerry Brown’s nomination of Democratic U.S. Rep. Xavier Becerra of Los Angeles to become the state’s first Latino Attorney General, replacing Senator-elect Kamala Harris, is a shrewd and surprising political move and a superb pick.

It not only instantly positions one of California’s most talented politicians as a national leader of anti-Trump progressive forces, but also prepares the state for looming bitter legal battles against the president-elect’s reactionary policies on immigration, health care and climate change.

Becerra is keenly aware of the challenges.

“Right now, when California continues to lean forward on so many issues: environment, clean energy, immigration, criminal justice and consumer protection, we’re going to need a chief law enforcement office to advance those positions and protect them,” he told the Sacramento Bee.

All in all, it’s the first bit of good news we’ve had since election night. (even though we were poised to endorse furniture breaker and populist legal bruiser Joe Cotchett for the job).

Political gamers impressed. Becerra, 58, is the son of Mexican immigrants who grew up in Sacramento, earned his undergraduate and law degrees at Stanford and has served as a leader of the House Democratic and Congressional Hispanic Caucuses. He also has served in the California Assembly and as deputy attorney general under John Van de Kamp.

“Once again, Brown surprises,” said Democratic consultant Garry South, noting that Becerra’s name was not on anyone’s speculation list of potential appointments to fill the last two years of Harris’s term.

“This is not a Rose Bird kind of appointment,” South added, referring to the controversial former chief justice of the California Supreme Court whom Brown appointed in 1977. “He has the experience, character and background to be a credible attorney general.”

“It’s a shrewd pick,” drawled graybeard California Democratic consultant Bill Carrick, describing Becerra as “really smart, politically savvy and somebody who can manage that office.”

The political implications of Becerra’s nomination – his confirmation by the Democratically controlled California Assembly and Senate is all but assured – are myriad.

No sooner was the ink dry on Brown announcement of Becerra’s nomination when former Assembly Speaker John Perez declared he would run to fill Becerra’s seat in Congress, which is liable to be hotly contested. Speculation about other political impacts came fast and furious. Asked Thursday by NBC’s Chuck Todd whether he would rule out running for governor or U.S. Senate in 2018, Becerra artfully sidestepped and said only he will be grateful to be confirmed as attorney general.

Which leaves speculation running rampant about:

– Attorney General: Democratic Insurance Commissioner Dave Jones – who has tangled with Gov. Brown over regulation of insurance rates in the past — had already announced his intention to seek the AG’s job in 2018; with Becerra holding the office with the ability to seek two full terms, the likelihood of an internal party contest for the post arose immediately. As the first Latino AG with a wide national network, however, Becerra would be in a prohibitively strong position to seek election to the post. Jerry serves his revenge cold.

– Governor: Lt. Gov. Gavin Newsom, former Los Angeles Mayor Antonio Villaraigosa and Treasurer John Chiang all have announced bids for governor in 2018, as has Delaine Eastin, former Superintendent of Public Instruction. Other possible contenders include billionaire climate change activist Tom Steyer, Los Angeles Mayor Eric Garcetti and former State Controller Steve Westly, to name a few.

While Becerra would make another top-tier potential candidate for governor, Calbuzz insiders on Thursday suggested he is unlikely to jump into the 2018 race for governor. In part, it’s expected that during Legislative confirmation hearings he’ll have to say he intends to serve as attorney general, and in order to run for governor he would have to pivot almost immediately to planning a campaign or 2018. The timing and optics would be ugly. (Prince Gavin and Tony V especially can likely breathe a sigh of relief.)

– U.S. Senate: What remains less clear is what would happen in 2018 if, at the last minute – her preferred timeline – 83-year-old U.S. Sen. Dianne Feinstein (who will then be 85) decides to retire and the Democrats are scrambling for a first-rate replacement who could step into the job seamlessly. Although California Secretary of State Alex Padilla is said to be eager to seek Feinstein’s job, Becerra might look to many Democrats as a stronger choice. (Difi, showing no signs of slowing down, has staked out a high-profile position to scrap with Trump in Washington, as the ranking member on the Senate Judiciary Committee and close ally of Democratic Leader Sen. Chuck Schumer of New York).

In the meantime, Becerra has an opportunity to play a crucial role as the chief law enforcement officer of the largest state – one where Hillary Clinton beat Donald Trump by more than four million (!) votes – which is also a leader on climate change, immigration, health care, civil rights, women’s rights and so much more.

Bottom line: We’ve met with and interviewed Becerra several times and came away extremely impressed. Jerry Brown has made an inspired choice and allied himself with a forceful, intelligent Latino politician who we expect to carry the banner against Trumpism and all its despicable effects, while competently carrying out the duties of California’s Attorney General.

Nice work, Gandalf.

(Jerry Roberts is a California journalist who writes, blogs and hosts a TV talk show about politics, policy and media. Phil Trounstine is the former political editor of the San Jose Mercury News, former communications director for California Gov. Gray Davis and was the founder and director of the Survey and Policy Research Institute at San Jose State University. This piece appeared first in CalBuzz.)

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President Elect Trump Should Leave DACA Alone

On June 15, 2012, President Obama created a new policy calling for deferred action for certain undocumented young people mainly Latino who came to the U.S. as children. Applications under the program which is called Deferred Action for Childhood Arrivals (“DACA”) began on August 15, 2012. 

This policy allows undocumented immigrants who were brought to the US as children … through no fault of their own … to come out of the shadows and receive a temporary work authorization and protection from deportation. 

According to the Immigration Equality website, deferred action is a discretionary, limited immigration benefit by DHS. It can be granted to individuals who are in removal proceedings, who have final orders of removal, or who have never been in removal proceedings. Individuals who have deferred action status can apply for employment authorization and are in the U.S. under color of law. 

There is no direct path from deferred action to lawful permanent residence or to citizenship.  And, it can be revoked at any time. 

President-elect Trump said on the campaign trail that he plans to reverse Obama’s executive actions and orders, which would include DACA. If the Trump administration decides to end DACA, it would be at the discretion of DHS secretary to determine priorities and whether protected status is removed together with work permits. 

President Obama has asked Trump and the incoming administration “to think long and hard before they are endangering that status of what for all practical purposes are American kids.” Roughly 750,000 people were issued temporary protected status and, separately, work authorization. 

“These are kids who were brought here by their parents. They did nothing wrong. They’ve gone to school. They have pledged allegiance to the flag. Some of them have joined the military. They’ve enrolled in school. By definition, if they’re part of this program, they are solid, wonderful young people of good character,” Obama said during a press conference last month after the election. 

“And it is my strong belief that the majority of the American people would not want to see those kids have to start hiding again. And that’s something that I will encourage the president-elect to look at.” 

This is really basic common human decency and compassion. This group of ‘Americans’ may not have a paper that says it but they are in every sense of the word Americans. They don’t know any other country. Some don’t even speak Spanish. They are law abiding and productive members of our communities. Let’s not wreck their lives for no reason. 

I’m very hopeful that our new President will do the right thing.

 

(Fred Mariscal writes Latino Perspective for CityWatch. He came to Los Angeles from Mexico City in 1992 to study at the University of Southern California and has been in LA ever since. He can be reached at [email protected].)

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What Arnold Can Teach Us about Donald

POLITICS--When newly-elected Donald Trump took his family to a restaurant for dinner without telling the public recently, the press flipped out. A chorus of complaints swelled across the land and apoplexy ensued among the news media.

“He didn’t tell us!”
“He’d supposed to let us know!”
“That’s not how it’s done!”
“We should have come along and sat outside while he ate steak!”

Journalists and editorial writers pilloried Mr. Trump for leaving home and traveling five blocks to a restaurant. Those same reporters, along with editors and news executives, issued thoughtful pleas about the importance of documenting a chief executive-to-be’s movements.

I’m not here to defend the president-elect’s behavior or suggest that his unwillingness to play by traditional rules of engagement with the press is not a big deal. I’m a newspaper reporter, after all. And as the City Hall reporter for the only newspaper in McComb, Mississippi, I hardly find it remarkable when the mayor travels the three blocks from his office to the Dinner Bell restaurant without first notifying me.

I am here instead to suggest—from deep and unusual personal experience—that the news media and everyone else might do well to prepare for a lot more breaking of protocol.

I was the personal aide, AKA “Body Man,” to a governor of California who at the time of his election was one of the five or six most famous people on earth. Like Donald Trump, Arnold Schwarzenegger proclaimed himself an outsider, a non-politician. His first campaign, like Trump’s, was a circus, with the sheer force of his persona flattening most criticisms and every opponent.

“I’m rich so I’m not beholden to special interests,” he said. “I’ll fix a broken system,” he said. Trump’s “drain the swamp” sounds a lot like Schwarzenegger’s “blow up the boxes.”

There is of course a vast difference of scale between a president and a governor, even a superhuman governor like Arnold Schwarzenegger. A governor isn’t responsible for national defense and doesn’t negotiate treaties with other countries. A governor doesn’t tend to travel in a 50-vehicle motorcade with an ambulance in it. A governor doesn’t have access to nuclear codes.

But I believe there are lessons to be learned from Schwarzenegger’s behavior as governor that will help us understand Trump’s as president, at least based on how he has conducted himself in the first weeks since his election.

Early in the Schwarzenegger era—like Trump, even before he took office—calls of “It’s always been done this way” began to be tossed about.

“You’ll have to be in the Capitol every day to meet staff and legislators. You’ll have to be here to sign bills. That’s how it’s done.”

It took a while, but Arnold chipped away at “It’s always been done this way” until the Sacramento apparatchiks got it through their heads that the governor could do business sitting by his swimming pool 400 miles from the Capitol if he wanted to.

One thing people didn’t press the governor to do was move his family from Los Angeles to Sacramento. California was at the time one of just a handful of states with no governor’s residence. That and Arnold’s four school-age kids gave him a pass on the relocation bit.

Instead he took up part-time residence in a two-bedroom hotel suite across the street from the State Capitol. Several nights a week, he slept in one bedroom, I in the other. Between the manly-man Republican action hero and the 40-something gay Democrat, we were an odd couple if ever there was one.

“What must people think … the two of us living here like this?” he said one night as he switched off the lamp in our living room before heading to his bedroom. But I don’t believe he fretted much about what people thought, about his living arrangements or anything else.

It took a while, but Arnold chipped away at “It’s always been done this way” until the Sacramento apparatchiks got it through their heads that the governor could do business sitting by his swimming pool 400 miles from the Capitol if he wanted to. Staff could fly to Los Angeles, their rolling suitcases, jammed with legislation, in tow. The mountain, it turned out, could indeed come to Mohammad.

In August 2004, less than a year after Arnold took office, he agreed to speak at a high-ticket Bush-Cheney fundraiser in Santa Monica. Our advance people and the California Highway Patrol team warned, “Governor, the Secret Service say you have to be there 30 minutes ahead of the president or they won’t let you in. They’ll shut down access.”

“Relax,” Arnold said, just as I heard him say several times a day for the seven years he held office. “Let’s go to Starbucks.” There were few things Arnold Schwarzenegger liked less than sitting and waiting. “No hanging” was a mantra.

“But Governor, the Secret Service …”

“Starbucks. Do you really think they’ll keep me out?” And he was right. He knew the power of his celebrity. Starbucks was a frequent tool for the killing of time, and the California Highway Patrol protective detail learned quickly to research Starbucks locations when plotting routes between events.

There is shorthand for a politician’s unplanned events or stops on a tour. An OTR, or Off The Record, is an unscheduled stop. There was the OTR at an H&M store in Philadelphia, where Arnold had seen interesting scarves in the window when driving past.

“What are you doing here?” the lady behind him in the checkout line asked.

“Buying scarves.”

“Makes sense,” she said.

OTRs are easier when you have your own airplane that won’t take off without you, as the governor did.

“Do you really think they’ll keep me out?” And he was right. He knew the power of his celebrity.

Then there was the jet ski OTR in Miami Beach. We were there for a conference on climate change but, as at most conferences, Arnold didn’t attend every panel, plenary, and roundtable.

“Let’s get some jet skis.”

“Uh, you’re supposed to be in the reception at 3.”

“Relax.”

Several staff members had to make quick trips to the hotel gift shop for swim trunks; others of us knew enough to have packed apparel for every Florida eventuality. It had to be an odd picture, Schwarzenegger and his posse traipsing across the sand to the surf, flanked by a team of plainclothes highway patrolmen in dark suits. It happened that we were crossing a topless beach but if the rest of the posse was titillated, I was not.

More times than I can count, the governor visited construction sites or industrial facilities where hardhats were required.

“Not gonna happen,” he would say, not breaking stride, to the man waving a hardhat in front of him.

“But it’s required!” By then it was too late.

He acquiesced only once in the headwear department, though it wasn’t with a hardhat. At Yad Vashem, the Holocaust remembrance center in Jerusalem, a yarmulke is required when you enter the Hall of Remembrance to view the Eternal Flame. That time, the governor knew better than to quarrel.

Arnold’s reluctance to commit to schedules or events until the last minute sometimes meant squads of CHP officers sitting and waiting to cover every possible scenario. Teams gamely stationed themselves everywhere he was scheduled to go, or where he might go when he made up his mind. And if he decided not to go, the team drove or flew home, depending on how far away they were.

I made a wasted trip once myself. I had been dispatched to Idaho to set up a retreat for the governor’s senior staff in his vacation home. But as soon as I landed in Boise I received an email telling me to come back to California. The retreat was off. I hustled across the airport and made it onto a plane leaving just a few minutes later, but that was a $700 ticket on the state’s dime.

Despite Donald Trump’s thumb-your-nose approach to the traditional ways of doing things, I don’t think we’ll see him in H&M buying five-dollar scarves. But he could if he wanted to. And like the H&M visit, I don’t expect to see President Trump sea-doo-ing anytime soon. But one never knows.

One thing we can expect from President Trump is that “it’s always been done that way” won’t get us very far. We won’t like everything he does but we shouldn’t be surprised when he defies protocol. After all, breaking the rules of presidential campaigns is what got him elected.

(Clay Russell is a reporter for the McComb (Miss.) Enterprise-Journal and prides himself on his non-linear life path. A former professional chef, he lives with his husband and two cats in America’s Deep South. This piece was posted first at Zocalo Public Square.)

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Runaround Ryu and Hollywood Sign Danger

@THE GUSS REPORT-This weekend’s deadly inferno in an Oakland warehouse that was used as, but not permitted as, a living space and concert venue is a warning shot for Los Angeles Mayor Eric Garcetti, the LA City Council and especially its first-term District 4 representative David Ryu. The message it delivers to them is this: if you ignore repeated community warnings about dangerous conditions, someone, perhaps many people, may die on your watch. (As of Monday afternoon, the Oakland death toll stands at 36 and is expected to go higher.) 

In the communities surrounding LA’s world famous Hollywood sign, a major tourist attraction, members of its surrounding homeowners’ associations are furious with Ryu for what they say are broken campaign promises, and his becoming unreachable, regarding the ever worsening, dangerous conditions created by City Hall giving riskier and illegal access to the sign through extremely narrow and winding hillside streets. 

Locals primarily blame the conditions on two things. One is Ryu’s predecessor, Tom Labonge, the seemingly attention deficit challenged, termed-out City Hall lifer who ignored common sense. Locals say California’s environmental CEQA rules were ignored by Labonge in 2011 when he illegally used his own office staff to clear a perilous cliffside vista for tourists to view the sign, rather than going through city departments that have engineers, public safety and park experts. The other cause, they say, is technology like Google Maps, Yelp and ride-sharing services like Uber and Lyft that allow tourists to share with one another closer, riskier access points to the sign. 

In the Spring 2015 primary for Labonge’s City Council seat, Ryu defeated outsider activists, as well as crusty City Hall heir-apparents, to face off against Labonge’s Chief of Staff, Carolyn Ramsay. In doing so, he sought and received help from Tony Fisch, a Hollywood Hills consultant and 12 other activists who met with Ryu to discuss well-documented dangers ranging from huge brushfires believed to be caused by tourists’ cigarettes, tourists driving off cliffs, and tourists seeking selfies -- sometimes with children in strollers – inches away from 200-foot plunges. 

According to Fisch, “Thirteen of us activists sat with (Ryu) in my living room at the beginning of the runoff. He said he’d assure our public safety and we were specific about the Vista.  After the election he asked us for residential consensus to close the Vista along with other safeguards. (We) hand-delivered 75% of residential signatures to him in his office. He said he would get back to us with a timeline, but we never heard from him again.” But now that Ryu is nearing the half-way point of his first term, Fisch says of Ryu, “He is a corrupt liar.” 

At Friday’s City Council meeting, when asked to comment on the subject, Ryu declined to answer “due to a lengthy Council meeting today.” But the meeting had only an eight-item agenda, much of which was ceremonial, and took only half as much time as Wednesday’s marathon four-hour meeting. He referred me instead to his Communications Director who talked about their conducting 50+ meetings about the subject, but could not provide any specific plans for dealing with the problems or meeting with Fisch and his activist neighbors again. 

On Saturday morning, I ventured high into Beachwood Canyon to speak with locals and to see first-hand what was going on. 

What I saw was nothing short of a cavalcade of chaos. I met Guy, a local house restorer who has lived in the area for four years. He estimated that, at the top of his extremely narrow road, which ends in a cul-de-sac, there are upward of 1200 to 1500 daily vehicle “turnarounds.” 

I witnessed tourist vehicles and Uber and Lyft drivers parking their cars in (and in front of) driveways and in the middle of the street. This is not only a back-breaking nuisance for residents, but a tremendous danger should first responders need to access the gated, dirt access road at the top of the street in the event of another brushfire. Sometimes, the ride share drivers drop off their fares and drive away, only to come back minutes later, doubling the traffic nuisance. 

Local parking enforcement officials expressed frustration that they have to patrol a large area, but that when they respond to calls for illegal driveway and street blocking, the tourists and ride share drivers jump back in their cars and drive away. 

Residents, it should be noted, welcome hikers and cyclists enjoying the scenery, although they say the city has done nothing to enforce limited hours of access to those trails, leading to drug and alcohol consumption, used condom disposal on their streets and late night bike riders. 

Bad as the conditions I witnessed were, this pales in comparison to something else I discovered…..coming soon.

 

(Daniel Guss, MBA, is a contributor to CityWatchLA, KFI AM-640 and Huffington Post. Follow him on Twitter @TheGussReport. His opinions are his own and do not necessarily reflect the views of CityWatch.)

In a Groper-Trump Political Climate Will Jose Huizar’s Scandals Derail a Run for Congress?

THIS IS WHAT I KNOW-Remember this past July when we were sure Trump’s run for presidency would be toppled by the leaked Access Hollywood Bus Tapes? Months later, we’re trying to avert our eyes from early morning tweets, the Apprentice-scale Cabinet competition and buddy to buddy calls with foreign dignitaries. 

Back in 2013, two years after Anthony Weiner had resigned from Congress over a sexting scandal, the politician had risen from the ashes as a reformed family man and hero of the middle class but his NYC mayoral campaign came to a halt mid-primary season after another online relationship was revealed. Weiner revealed two days after dropping out of the Democratic primary that he had engaged in online sexually charged relationships with between six and ten women after leaving Congress. 

It would seem personal scandals can either stick like Velcro or bounce off a candidate’s back, depending upon the scenario or perhaps, depending upon the candidate. Closer to home, we wonder if LA Councilmember Jose Huizar’s “illustrious” past will place an obstacle before his possible Congressional run to fill the 34th Congressional District seat expected to be vacated by Rep. Xavier Becerra’s appointment to fill the final two years of Kamala Harris’s State Attorney General post. 

According to Huizar’s campaign aide, Rick Coca, the Chair of the Planning and Land Use Management (PLUM) Committee has been reported to be considering an election bid to represent the central and northeast areas of Los Angeles. Despite a past that includes a settled sexual harassment suit, an extramarital relationship, and a city-settled lawsuit over a fender-bender, he managed to get reelected to his third and final full council term last year. 

Just a year earlier, in 2014, Huizar was in the center of not one but two lawsuits. In March, the LA City Council voted unanimously to approve a $185,000 settlement to David Ceja, a former Huntington Park police officer. Ceja’s 2002 Saturn was hit by Huizar’s city-owned SUV in October 2011. Ceja’s attorney had filed an initial claim against the city for over $500,000 in December, questioning whether the council member had received special treatment from LAPD since, according to the attorney, the investigators had waited 2 ½ hours to administer a breathalyzer test, which came out clean. A few weeks prior to the settlement, Ceja’s attorney stated he had no concerns about the police treatment. 

Just months later, Huizar agreed to settle a 2013 sexual harassment case brought by his former deputy chief of staff, Francine Godoy (photo left), who did not obtain a payout from the city, though the city did have to pony up tax dollars for Huizar’s legal fees. In April, the council had voted to approve up to $200,000 to the firm representing Huizar, though it was unclear whether the limit had been reached. 

Godoy alleged in her suit that her former boss had retaliated against her for refusing to submit to his request for sexual favors, a charge Huizar denied, although he did admit to an extramarital relationship with Godoy, who had worked for Huizar from 2006-2013. During her employment, her salary had grown from about $47,000 to over $132,000, according to personnel department officials. Godoy alleged that Huizar denied her promotions, forced her transfer and pressured her to quit her job. She also alleged he had sabotaged her attempted run for Los Angeles Community College District Board of Trustees in 2012. 

A panel that investigated her complaints concluded a lack of evidence to support her allegations of discrimination and retaliation but did find that she had received pay raises multiple times at a “faster rate” than other staffers in Huizar’s office. 

As reported in City Watch, last week, the LA City Planning Commission (and Huizar) gave a billionaire developer a green light for special spot-zoning for his 20-story luxe high-rise known as “333 La Cienega,” proposed for the intersection of La Cienega and San Vicente, “opening the door to more tall development in the area.” CityWatch reported that Rick Caruso and his associates at Caruso Affiliated Holdings had contributed over $120,000 in campaign contributions to 42 candidates in LA. Caruso has contributed $65,750 to elected officials, including $2,200 to Huizar. 

Do you think Huizar’s past will catch up with him if he decides to run for Becerra’s congressional seat? We’ll have to wait to see.

 

(Beth Cone Kramer is a Los Angeles writer and a columnist for CityWatch.) Edited for CityWatch by Linda Abrams.

Thoroughly Unqualified Ben Carson Has No Business Running America’s Housing Program … LA at Risk

GUEST COMMENTARY--The Coalition for Economic Survival (CES) has expressed deep concern and outrage at President-Elect Donald Trump's announcement today of the selection of Ben Carson to be the new Secretary of the Department of Housing and Urban Development (HUD). CES does not believe Carson has the knowledge, experience, ability, compassion or commitment to the goals of HUD to lead the nation's housing agency. 

Over the last 4 decades, CES has been the leading organization in the Los Angeles area that has provided outreach, education and organizing assistance to tenants living in HUD subsidized housing in an effort to preserve this important and significant number of affordable housing units. 

HUD oversees federal rental assistance programs that serve over 5 million of the country's lowest income households, as well as administers tens of billions of dollars in community development, disaster recovery, and homeless assistance funding, enforces fair housing laws and acts as one of the largest mortgage insurers in the world. HUD plays a critical role in alleviating poverty, stabilizing and revitalizing communities, increasing the educational attainment and incomes of low-income families, and providing safe, affordable homes to deeply poor elderly or disabled families. 

But by his own admission, Carson has stated that he "feels he has no government experience, he's never run a federal agency. The last thing he would want to do was take a position that could cripple the presidency," when his name was suggest to head the Department of Health and Human Services. 

Carson's aide, Armstrong Williams, has stated recently, "He's never run an agency and it's a lot to ask. He's a neophyte and that's not his strength," 

Carson has been deeply critical of social welfare programs. He has characterized the country's safety net of cash assistance, housing allowances and social services as a failure that perpetuates dependence on government. 

He is known for offering provocative commentary on a wide range of issues, including comparing the modern American government to Nazi Germany in a March 2014 interview with Breitbart, and saying at the Voter Values Summit in 2013 that Obamacare is "the worst thing that has happened in this nation since slavery." 

In a 2015 opinion for The Washington Times, Carson compared an Obama administration's "Affirmatively Furthering Fair Housing" regulation to "the failure of school busing" because it would place affordable housing "primarily in wealthier neighborhoods with few current minority residents." 

The regulation is designed to end decades-old segregation by offering affluent areas incentives to build affordable housing. Critics, including Carson, called it government overreach. 

Ben Carson is totally unqualified to be HUD Secretary. HUD is among the most important federal agencies tasked with ensuring compliance with the Fair Housing Act, and creating affordable, preventing housing discrimination and ensuring inclusive communities. Ben Carson has shown a complete disregard and open hostility to government efforts to confront racist and discriminatory practices in the housing industry. 

The appointment of Ben Carson indicates that Donald Trump and his admiration has a complete disregard for tenants' rights and an absolute lack of commitment to ensuring America's poor will have a roof over their heads that is decent and that is one they can afford. This clearly is not a holiday present low-income HUD tenants wanted."\

 

(Larry Gross is the Executive Director of the Coalition for Economic Survival and an occasional CityWatch contributor.)

-cw

LAPD Email Shows Department Still Misclassifies Serious Crimes as Minor

LAPD WATCH--We’re not against the police. We’re not against the police department, but we are against police who commit misconduct (and those who help cover it up.) 

A Los Angeles Police Department internal email shows that the department has misclassified up to 80% of aggravated assaults as simple assaults. That’s important because if they can label a crime as belonging to the Part II family of crimes it doesn’t get counted in the overall violence crime statistics reported publicly -- the only numbers that really matter to the LAPD and City Hall. 

A November 3, 2016 email from the Commanding Officer of COMPSTAT Division John Neuman, shows that between January 1, 2015 and October 29, 2016 an inspection of simple assault crimes that included a dangerous weapon were classified by the department as a less serious Part II crime when they should have been classified as a more serious Part I crime like an aggravated assault or robbery. 

According to Neuman’s email: 

“The inspection is looking at a total of 1,792 Simple Assaults Citywide from the past 22 months. A very quick sampling of such showed that up to 80% of these were misclassified.” 

Neuman’s email also indicated that the department was taking steps internally to fix the numbers but made no mention of alerting the public. If the department doesn’t fix and release the adjusted actual and real violent crime statistics for 2015 they’ll never be able to get an accurate account of the increase or decrease in crime from 2014. The same goes for 2015 and 2016. 

Neuman’s emails seems to indicate that this was a random sampling so I am sure the number is much higher. 

This isn’t the first time the LAPD has been caught cooking the books, though. 

In 2015, the Los Angeles Times reported that 14,000 serious assaults had been misclassified as minor offenses during an eight-year period, thus lowering the city’s crime levels. An internal audit by the department’s inspector general said that number was 25,000. The Times reported that, “More than a quarter of the errors were due to the LAPD failing to count cases in which suspects brandished weapons as aggravated assaults.” 

At the time, Los Angeles Police Chief Charlie Beck said they were taking steps to correct the problem. We’re now headed into 2017 and apparently the problem still isn’t fixed. 

Here’s the email from John Neuman: 

 

It looks like not only will the department have to adjust its numbers but also so will Chief Beck. If these numbers are off, then his weekly report of crime statistics is off too.

 

And finally, while we don’t blame the LAPD for the increase or decrease in crime–quite frankly that’s all on the public they police–we do expect Chief Beck and co. to be forthcoming and honest about what the numbers really are.

 

(Jasmyne A. Cannick lives in Los Angeles and is a frequent commentator on local and national politics, social and race issues. Cannick is an occasional contributor to CityWatch.) Edited for City Watch by Linda Abrams.

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