Walk On Wilshire Coming Back

Closed but not forgotten…

Next Tuesday our City Council will once again address the issue of Walk on Wilshire, the bureaucrat-driven “pilot program” that closed off the 100 block of West Wilshire Avenue to street traffic so that three restaurants could set up shop in the middle of the street. The issue is whether to approve an extension of the idea. Pretty soon they’re going to drop the word “pilot” altogether, and we’ll know that City Hall has permanently squatted on the street.

As usual, the staff report is so poorly written that it takes some forensic work to figure it out.

Off we go, into the Wild Blue Yonder…

So far the thing has cost ninety grand, but more “enhancements” are projected – another $80,000. Staff says lease revenue for the past 27 months is less than $36,000, but somehow will go up to $40K a year once two more users build their “parklets” – a silly phrase that has currency among urban “planners.” That remains to be seen, but any way you slice it, with ongoing maintenance costs it will be years before the City recoups its outlay – if it ever does. This concept seems to have eluded the crack minds of our “Economic Development” employees, and our City Council that steadfastly spends more to get less back. But that is the constant theme of Downtown Fullerton.

It’s funny how depriving the taxpaying citizens of their right to drive on a public street is seen as a good thing in some circles – cars bad, bad, bad; and the impact on other businesses on Wilshire Avenue isn’t taken into account at all. Some folks seem to think the experience is cosmopolitan, likening it to a veritable Parisian vacation, but failing to note the difference between a sidewalk café and putting tables out in the middle of a road closed for that purpose – something no Parisian citizen would tolerate for a second.

Even though the staff report says it awaits City Council guidance, it is replete with pro-street theft propaganda, including another one of those ginned up polls done by Kosmont whose previous efforts include this hot mess. And it gets even worse.

Staff is requesting an “Asssement” opportunity to locate other places in DTF to recreate the money loser on Wilshire, “vibrancy” sounding ever so much better than bureaucratic busywork and inconvenient street closings.

Well the die is already cast on this one. Zahra and Charles just ooze sanctimonious support for this hare-brained idea; and Bruce Whitaker is all in for it, too, for some nincompoop reason – maybe because his wife likes it. Nick Dunlap recused himself last time and may do so again. Or he may just go along with more staff-driven nonsense. Only Fred Jung seemed really opposed to this scheme, but he’s going to be in the minority.

More Bungling And Intransigence From Fullerton’s Underpaid Bureaucrats

On June 26th the Fullerton Planning Commission revisited the never-ending saga of a Noise Ordinance Revision, mostly as it applies to illegal noise in Downtown Fullerton, a situation that City Code Enforcement has for years been energetically ignoring. Friends may recall that the City Council bobbed and weaved on this issue at the end of 2023 and again in February, without, seemingly even bothering to read the proposed mess of an ordinance. Taking bold action the Council referred the matter back to the Planning Commission who had already rubber stamped it.

But when the PC did review the matter again, the same thing it had already approved, the Commission seemed to have developed both curiosity and courage. On March 26th they savaged the jumbled and contradictory hodgepodge and decided they had better have an on-site examination of the actual problem and the problem makers; afterward they would reconvene.

And reconvene they did, for a “workshop.” Somehow – and it’s not quite clear how – the meeting had been identified somewhere as a “public hearing,” a meeting where important discretionary decisions are made. Even the staff report contained a recommendation to approve the ordinance changes – a formal action. Some of the Commissioners wanted to shut it down then and there, and reschedule the matter; others were eager share their opinions after on-site field trips. In the end the Planning Commission continued the matter so that staff could get it right next time (they won’t).

The staff report itself contained the usual propaganda and misstatements and handwringing that have become the hallmark of Sunayana Thomas, Fullerton’s Planning Director and Economic Development expert. Here’s one:

This statement is absurd, of course.

Then there was the same old litany of difficulties in legally enforcing anything and winning in court. Jesus H., when they don’t feel like doing something they’re just weak as kittens.

Two things emerged during brief “public comments.”

First, Joshua Ferguson pointed out that the notice error was a Brown Act violation and also that a “serial meeting” had taken place. The unnamed lawyer at the meeting who is employed by “The I can’t Believe It’s A Law Firm,” claimed everything was kosher because a quorum of the Commission never met to discuss anything, which begs the question of whether staff itself can organize a serial meeting, illegal under the Brown Act.

Another thing that popped up is that staff, on its own initiative has actually now raised the allowable decibel level that they are recommending in Fullerton’s Commercial Zones to 80dBs – based, presumably, on their field adventures.

Two things remain crystal clear: City staff doesn’t want to do their jobs, and the coddling of nightclub operators abusing their 47 Licenses is going to keep happening until some City Council caves in and gives the bar owners legal license to keep doing what they’ve been doing for 20 years. The long-running effort to protect lawbreakers in Downtown Fullerton will continue for at least a while longer. And every delay makes more money flow into the pockets of the scofflaw bar owners.

Boutique Fun and Games With Johnny Lu and Larry Liu

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

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

That can’t be good…

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

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

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

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

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

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

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

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

Fullerton being Fullerton.

Bungling Boutique Boondoggle Blunders

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

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

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

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

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

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

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

Hostert

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

Revenue Enhancement Time. Plus Lies and More Lies

Last Tuesday the Fullerton City Council voted 4-1 to approve the ’24-’25 city budget. Whitaker, as usual voted no. The budget projects big deficits as we’ve already heard.

After that the Council was presented with “revenue enhancement” ideas – the same old nonsense that we’ve already talked about, here. At first these ideas were simply floated to make it look like somebody had given some thought to find other ways, however silly, to address the tsunami of red ink; but in reality the point was to push a general sales tax, a movement that had been subtly going on for many months.

However the proposals agendized last Tuesday did not include a sales tax this fall, a sure indicator that the City Manager has polled the Council and knows he doesn’t have the votes to put it on the ballot. But that didn’t stop Councilmembers Charles and Zahra from pitching and pitching and pitching the idea; and finally supporting each other to get the issue of a sales tax on the an agenda, pronto, in time to schedule it for the November election.

But before that happened the public was treated to some of the most blatant and self serving re-writing of Fullerton history I have ever heard.

If I knew what I was talking about this wouldn’t be Fullerton!

Shana Charles started off with long-winded blabbering that was irrelevant, self-contradictory, confusing, and erroneous. Of course – “decimated” staff, the ill-effects of right-sizing,” reduced response times – the usual liberal litany of problems were simply meant as an introduction to the sales tax proposal. Her complaint was that previous councils had made mistakes, not by exercising fiscal restraint, but by “cutting to the bone.”

Charles then lauded the wonderful benefits that the City of Placentia derived from it’s Measure U sales tax that saved it, having declared bankruptcy – a statement completely false. She failed to mention the fact that Placentia has saved millions by getting their “fire fighters” out of the paramedic business, an idea of which her Fullerton fire fighter union pals are terrified.

While patting herself on the back for very recent staff and service level increases, she failed to see the rich irony of her own incompetence on the edge of a precipice: a situation well-understood when she voted for last year’s budget.

More economic development, better wardrobe…

If Charles blathered nonsense, Zahra just lied about Fullerton’s recent fiscal history, most likely because he has been on the City Council for 6 years, and has his greasy fingerprints all over the budgetary disaster.

According to Zahra, our problem reaches back decades and only now is the Council addressing the problem. Of course our City Councils have made bad decisions over the years, but the current disaster is of very recent vintage and has also occurred while he has been on the City Council.

For several years in the mid and late teens Fullerton was dipping into reserve funds to pay the freight, even as Zahra’s allies Jan Flory and Jennifer Fitzgerald and Jesus Quirk- Silva were lying to the public about the budget being balanced. It wasn’t. In fact the City continued in its cavalier way until Fred Jung and Nick Dunlap joined Bruce Whitaker on the council in 2020.

Measure S Covid Lie
Let me count the ways…

Zahra related how he, as a precinct-walking candidate, noted how people wanted better roads and how his predecessors had promised them, too, but that they failed. He didn’t note the fact that Fullerton’s public safety employees were hogging up bigger and bigger shares of the budget – as they still do.

The subject of Zahra’s failed 2020 Measure S sales tax came up, a sore subject, apparently, since his underserved constituents in D5 voted for it. So let us not stop from revisiting it, and right now! Charles chimed in that well she people she spoke to voted against it because there was no sunset provision, and, get this – because there was no oversight committee!

As an aside, I have to share that Zahra made an hilarious little speech about he could not support an infrastructure improvement bond because voting for municipal debt would keep him awake at night!

It’s not rocket science…

Bruce Whitaker made just about the only insightful comment of the discussion, namely: that cities can control costs but they can’t control revenue, an observation that flies in the face of the revenue enhancement propaganda, but that is perfectly true. As has been stated here before: nobody even knows if an Economic Development Manager even pays for himself in terms of incremental tax increase.

I will wrap this up by acknowledging a Zoom caller who actually did make a good revenue enhancing and who identified a huge fiscal problem: downtown Fullerton, the annual sinkhole that makes millions for the scofflaw club owners and that leaves the taxpayers with a $1,500,000 bill. He suggested a special assessment on these eager party entrepreneurs to pay for the havoc their booze and their customers cause. Not surprisingly, none of the council members even mentioned the problem. They never do.

Chapman Parking Structure Deeded to City

A while back FFFF noticed a item forecast on the June 4th Agenda dealing with the property bounded by Whiting, Chapman, Pomona and Lemon – a parking structure built about 30 years ago for reasons still unknown. Curiously, the staff report calls it a “parking lot,” ignoring the fact that it’s actually an elevated parking structure – an asset that cost several million to build. The accompanying Quitclaim Deed only refers to parcels of land on the original Townsite Map, but doesn’t describe improvements on said lots.

According to staff it was built by the downtown Fullerton Parking Authority – which isn’t quite true because the parking district didn’t have any money. It was built by the Fullerton Redevelopment Agency which raised lots of money to waste on stuff like this.

Anyhow, the agendized item turns out to be a paperwork issue to deed miscellaneous portions of the site to the City from the now dead “Parking Authority.” The item was dutifully approved by our City Council.

Obviously, nobody caught the omission when the parking agency expired (another Jones and Mayer success story), but now the timing may suggest that the “opportunity site” as identified in the otherwise unrelated and never-ending “Fox Block” fiasco has attracted the attention of City Hall’s Monopoly-playing, “economic development” bureaucrats.

I Wanna Paint It Black

So somebody noticed that a new downtown “club” called Kalaveras is opening. Looks like they have painted the rear of their building black.

Apparently they have also expanded their business into an adjoining property.

The trouble is, according to our correspondent, their Conditional Use Permit is only for 122 W. Commonwealth and work is being done next door – at 120 W. Commonwealth – which is not covered under the CUP. Oops. It looks like they’re actually putting in underground plumbing.

Black is the new black…

I don’t know if this information is accurate, but I know if it is, the City will likely do nothing about the scofflawry, Fullerton being Fullerton.

As far as the black exterior is concerned, it’s hard to believe that the City actually approved of this since elevations must have been submitted along with the CUP application, and yet Fullerton’s Planning Department has been so inept and careless in the past that maybe it seemed okay, Downtown Fullerton being all about coolness and hipness and a wonderful, vital, -$1,500,000 per year success, and all.

It’s entertaining to recall that the location of this operation is the same place that Slidebar, DTF’s Nexus of Nuisance used to occupy. That owner, Jeremy Popoff, went years operating without a CUP, breaking just about every rule in the book.

What’s Wrong With This Picture?

Downtown Fullerton saw a ribbon cutting this week for “Madero.” It’s not a new place. It used to called “Matador” but an El Matador already existed in Costa Mesa and the story goes that Mario Marovic, proprietor of the Fullerton place, got sued and had to change the name of his establishment. So an event was held and here’s the scene:

All smiles…

The guy with the green hat is Mario Marovic. That name sure rings a bell.

Right. He’s the scofflaw who got caught squatting on the City’s property on Commonwealth Avenue – the legacy of the Tony Florentine sidewalk theft. When that came out Marovic made a deal with the City to remove the egregious “bump-out” and to be complete by July 2023. Oops. Nothing has even started, 14 months after the start of work deadline. And we know that the City Council has been presented with some sort of legal claim by Marovic, because it was on their Closed Session agenda.

And who is the little guy on the left standing next to Marovic? Why it is none other than the District 5 Councilman Ahmad Zahra, dressed in his usual ribbon-cutting attire, palling around with Marovic and even giving him some sort of City proclamation!

Will not work for new clothes…

Now, we all know that little Ahmad is a notorious attention hound and desperate photo-op seeker. We also know that a City Council agreement isn’t worth the paper it’s written on. But this is really too much. Marovic is still squatting on public property and it looks like no one in City Hall has the balls to enforce an agreement signed by Marovic himself. Instead the City seems to be actively socializing with him.

The Opportunity Site

A few days back I shared a couple of upcoming agenda items that the City Manager had forecast for the May 21st Fullerton City Council meeting.

I observed the reference to a development agreement with some entity called “Frontier” and also to an item simply called “Fox Block.” The two are related, but oddly, not listed together. Fullerton being Fullerton.

What I didn’t notice at the time was another item called “Chapman Parking Lease” another non-descriptive term, possibly not meant to attract attention.

A helpful Friend point out my oversight and got me thinking. Chapman parking? What the Hell is that? Then the other shoe dropped. There is a city-owned parking structure on the south side of Chapman Avenue, between Lemon and Pomona. It was built by the Fullerton Redevelopment Agency back in the ’90s the heyday of Fullerton Redevelopment, when they had so much money they could build parking structures that nobody even needed. Could this be what the cryptic agenda item referred to? Supposedly the facility was meant to help out Fullerton JC and maybe this is the entity with whom a lease was worked out.

The Junior College District has now built parking structures of its own, using our property tax increases to do it. Maybe the Chapman structure is now superfluous.

Could be. Check this out:

This satellite image has been used to accompany information/propaganda relating to the development known as the “Fox Block.” And the violet shape over in the lower left side of the image is the parking structure.

Hmm. Can this possibly be the site of yet another butt-ugly, monstrously overbuilt, under-parked housing project? Why not? It would be the only part of a Fox Block fiasco that could be worth anything to anybody. And since the City can no longer hand over piles of cash to “developers,” they can certainly hand over free land, enriched by the necessary zone changes.

I’m sure it’s all a big secret now. But in a couple days the May 21st agenda will be posted and maybe we can find out what “Frontier,” whatever that is, might be getting gratis from the people of Fullerton.

Coming to a Theater Near You

On this week’s Fullerton City Council agenda I caught a glimpse of the upcoming May 21st agenda forecast:

AGENDA FORECAST (Tentative)
Tuesday, May 21, 2024

  • APRIL 2024 CHECK REGISTER
  • MONTHLY COMMITTEE ACTIVITY AND ATTENDANCE REPORT
  • DISPOSITION AND DEVELOPMENT AMENDMENT FRONTIER
  • COSTA COURT AREA STREET REHABILITATION PROJECT
  • ALL CITY MANAGEMENT SERVICES CONTRACT
  • SENATE BILL 1383 COMPLIANCE ACTION PLAN FOR SERVICES AND PROGRAMS
  • CHAPMAN PARKING LEASE
  • FOX BLOCK
  • REVENUE OPTIONS

Not all that interesting until you get to the bottom.

Yeah, it was ugly as sin, but there sure was a lot of it…

The Fox Block, a never ending saga and a classic example of a tail wagging a dog. For years the “rehabilitation” of the historic Fox Theater structure has been used to support all sorts of God-awful lunacy, including residential land acquisition and demolition, new grotesque clown architecture, and the six million dollar relocation of the McDonalds restaurant a couple hundred feet to the east. The “Fox Block,” as the boondoggle came to be known, is a living fossil of the bad old Redevelopment days, when any nonsense could be got away with by City staff playing with Monopoly money. Damn accountability. It’s the Fox Block!

Why this is on the agenda is as yet unknow, but I noticed that one of our Friends “Fullerton Historian” suggested it may have to do with extending a development agreement or some other similar concept. Then I saw the third bullet point above: Disposition and Development Amendment with Frontier. “Frontier?” That’s all? What is this? Frontier Real Estate is our “partner” on the Fox Block, meaning we’re probably taking the risk and they’re goon get any reward – if there is any.

M. Eric Levitt. Will he save us from ourselves?

And finally we see an item simply called “Revenue Option” an oatmealy sort of phrase, but one that FFFF has already discussed. At this meeting the City Manager, Eric Levitt, will try (without too much unseemly enthusiasm) to tie dangling threads heretofore described here: a push poll created to drum up support for enhanced public services; a review of the likelihood that general sales tax might pass at 50%; and a precipitous budgetary cliff looming ahead.

See where this is going? Let’s see who stands up and demands that for our own good we must have a tax increase.