What appeared to be a pretty tame fall City Council election may have just become a lot more fun.
Word on the street is that Jan Flory pulled nomination papers yesterday to run against Mayor Nick Dunlap in the 2nd District election in November.
Who is Jan Flory? If you don’t know, take a spin through our files, here. You’ll find all sorts of entertaining stories about Ms. Flory and even about her creepy/pervy son Mike, who used to be a Deputy District Attorney and even tried to be a judge once.
Jan Flory was elected to the City Council in 1994 and voted off in 2002. In those eight years she happily allowed an illegal water tax, voted for the disastrous retroactive public safety pension spike and supported the culture of unaccountability that has helped us get where we are today.
In 2012 she hauled herself out of the stable to try another lap around the track.
Her mission was to restore municipal authority to the Old Guard she represented, and to protect the Culture of Corruption at the Fullerton Police Department from any sort of reform. She informed us that the City Department heads were the “heart of the City.”
She put in her four years, patting her Chief of Police Danny Hughes on the fanny as they both walked out the door in 2016, a few days after the drunken City Manager, Joe Felz drove over a tree and tried to drive away. The ensuing cover up turned out to be expensive. Oops.
But Jan wasn’t done with us. Not by a long shot.
When an opening on the City Council occurred in 2019 guess who was there to snap up the job? After her appointment she rewarded the unemployed Ahmad Zahra for his vote with a paying gig at the Orange County Water District.
In this last stint Flory was happy to continue her love affair with unbalanced budgets and was one of the members of the Council, along with Jesus Quirk Silva, Ahmad Zahra, and Jennifer Fitzgerald who waged a legal vendetta against this blog and specifically against Joshua Ferguson and David Curlee. Of course that harpy-like mission cost the taxpayers hundreds of thousands of dollars, but didn’t cost the perpetrators anything.
Well, I sure hope Ms. Flory really does want to run. The entertainment value alone is worth it. Who her constituency might be is unclear. There aren’t that many elderly liberals left in Fullerton. She might get the support of the yellowing, and thinning Fullerton Observer crowd, but a humorless, stick-up-the-backside septuagenarian is not likely to appeal to anyone under seventy.
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.
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.
In five days potential Fullerton City Council candidates for Districts 1,2, and 4 will be able to “pull” nomination papers. I don’t know why the phrase is “pull papers” but that’s what they call it.
At this point you can only tell who’s running by those who have created candidate committees. And that’s a short list, indeed. Committees are listed on the City Clerk’s webpage, here, under disclosures.
In Districts 1 and 2 only the incumbents Fred Jung and Nick Dunlap have committees. This is not unusual as incumbents are hard to beat, but usually some brave souls sign up. Of course you don’t need to have a committee unless you plan on raising money above a certain threshold. I believe it’s a thousand bucks, but don’t quote me on that.
In District 4 there are two candidate committees on record. As previously noted one is for retired City employee Vivian Kitty Jaramillo who apparently used to write parking tickets back in the day.
The other candidate is Linda Whitaker, wife of outgoing councilman Bruce Whitaker. Neither of these candidates has any experience as an elected person, although Jaramillo has run previously and lost badly when council elections were held city-wide. She was subsequently party to a lawsuit to force district elections where she must have figured she has a chance of winning. She’s the Democrat anointed candidate and is supported by the Ahmad Zahra and Shana Charles, our megalomaniacal and dingbat councilpersons, respectively.
Jaramillo would be a very poor choice as a vocal tax proponent and the beneficiary of City CalPERS payments. A win by her would create a new council majority run by the manipulative Zahra. Ms. Whitaker would probably be better on some revenue raising issues, but some have suggested that she is the moving spirit behind her husband’s disastrous votes on closing Wilshire Avenue for the benefit of a few restaurants, and the support of the nonsensical “boutique” hotel. I don’t know if this story is responsible, but the votes are testament to exceedingly poor judgment. She might also be inclined to form a majority with Jung and Dunlap as her husband has done.
It remains to be seen if either Jaramillo or Whitaker intend to run vigorous campaigns and how much money they can raise to do it.
So far nobody else has shown interest publicly – yet. The deadline to return papers to the City Clerk is August 9th – only a month away unless an incumbent pulls out. Then the period is extended 5 calendar days.
It would be nice to see somebody else pop up to run in the 4th District, but time is running out fast.
I wasn’t able to watch the Fullerton City Council meeting last night to see If my predictions would take place. But I’ve heard about it. Some did, some didn’t.
The item for consideration of a plebiscite 13% sales tax increase, placed on the agenda by Ahmad Zahra and Shana Charles, went nowhere as I supposed it would. In the end the staff report was “received and filed,” a polite way of saying sayonara and into the round file with you.
As predicted Zahra and Charles pleaded ardently for putting the tax on the ballot – even cutting the amount and placing some sort of sunset term. No takers.
What didn’t happen was the appearance of Zahra’s Zanies, his coterie of cult followers, to harass and harangue the Council majority. A little gaggle of folks spoke, discussion was held, and then the proposal was sent to the dead letter office. In almost no time the meeting was adjourned and everybody went home very early.
I wonder if Zahra even tried to marshal his forces, or whether he couldn’t muster any support. Why else agendize the issue knowing failure was certain. Maybe just to check the box.
It could be that Ahmad’s Aimless Army was busy elsewhere, maybe even pursuing recreation on his famous Trail to Nowhere.
I don’t know if District 4 candidate, Vivian Kitty Jaramillo even showed up.
When the video is available I may get details of who said what, but I’m not sure it matters.
The City is meeting tomorrow to to talk about putting a sales tax on the November ballot.
The staff report wrongly states that the City Council requested this item, which is an intentional lie. The matter was placed on the agenda by the minority of Ahmad Zahra and Shana Charles, two individuals I wouldn’t trust to run a lemonade stand.
These two fought long and hard to discuss the issue on June 4th, even though no public notice of a tax was on the silly revenue-grab agenda.
Tomorrow we will see a small army of Fullerton Boohoos crying out for a 13% sales tax increase on the ballot. Obviously they want to go for a general use tax because that only takes 50%+1 to win, whereas a special use tax requires 66% – an almost impossible hurdle.
But there’s the rub. A general use tax requires a 4/5 council majority to put it on the ballot, and the pro-tax Zahra and Charles don’t seem to be able to manage the simple majority required to put a special use tax on the ballot.
So what’s the point of this charade? We’ve seen this Zahra act before: mobilize his coterie of “underserved” residents to harangue the Council, and thus embarrass Jung, Whitaker and Dunlap.
But this is not the ludicrous Trail to Nowhere, and bullying won’t work. There’s only one meeting available to get this done, and tomorrow won’t be it.
The only question I have is whether District 4 candidate Vivian Kitty Jaramillo will stand up and support the tax.
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.
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.
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.
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.
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.
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!
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.
It seems like every few years Fullerton City Councils are presented by the bureaucracy with a new “fiscal cliff”: It’s done slowly, tentatively, and then with an ever-increasing tone of persuasion, the argument for “revenue enhancement” unfolds.
Revenue enhancement means taxes or debt – one way or another. And so it is in 2024.
With time running out to put a tax increase on the November ballot, the urgency from “staff” is getting more direct. Time has run out for soft-sell concepts like phony push polls of unwitting citizens. At Tuesday’s council meeting our esteemed City Manager is presenting ideas for raising money.
TOT Tax. What is a TOT tax? Transient Occupancy Tax is a tax levied on visitors who stay in Fullerton hotels. The staff report tells us that several million can be raised with a slight increase and that hopefully we will remain competitive because we are so close to the Anaheim “Resort.” No on can prove this one way or another, but it seems like becoming comparatively less competitive is a poor way of raising revenue. The positive thing about a TOT increase, says the staff report, is that Fullerton taxpayers won’t be affected (unless, of course the concept turns out to be a money loser).
Sales tax. We have already seen the sales pitch on how a general sales tax only needs 50%+1 to pass. We are told that a “1%” increase (from 7.75 to 8.75) on sales tax is being pursued by cities up and down California, etc, etc. Of course they think we’re too dumb to know that this isn’t a 1% increase, but a 13% increase. As with a TOT increase, it’s hard to see how becoming comparatively less competitive is going to make money. The sales tax issue seems DOA. 4 votes are needed to put this on the ballot and Whitaker and Dunlap aren’t going for that.
POBs. And then we see the concept of Pension Obligation Bonds, in which bond revenues are deposited with CalPERS to buy down the actuarial unfunded liability. The idea is that the interest rate on the bonds is lower than the return CalPERS will give us and the difference is all gravy. This idea was floated back in 2021 by then Interim City Manager, Jeff Collier. FFFF covered the proposal, here. One upside is that this scheme is not constrained by the usual debt ceiling limits placed on local governments by the state. Great. More gambling.
Mr. Collier was kind enough to visit our humble site to educates us on POBs. Friends immediately pointed out the risks involved with POBs, and the lack of skin in the game Collier and his pals had. And that was three years ago when market interest rates were way lower. The equities market is now going through the roof so the idea looks appealing to our bureaucrats, but not to California pension system observers who note CalPERS ever-declining return assumptions and remember the disaster of 2008. Will the City Council approve this gambit? It’s possible, and a public vote is not required.
These various options involve raising taxes or encumbering property to some extent. That’s risk with a speculated payoff. Ahmad Zahra is bound to support anything risky and foolish so as to protect his friends in City Hall. So is Shana Charles, another liberal torchbearer who will tell us this is for our own good; or for the urban forest; or for boutique hotels, or something else nonsensical. Whitaker won’t go for any of this nonsense. Dunlap? Who knows these days. And then there is Fred Jung who had the opportunity to be the third vote to shut down talk of revenue enhancement last year and didn’t.
A problem with any tax revenue increase is that the increase, such as it were, will immediately be snatched up by the so-called “public safety” employees, whose unions have the clout to grab what they want and everybody else be damned. That’s exactly what happened in Westminster a few years when the cop union pounded the pavement for a sales tax increase, got it, then gobbled it all up. And Westminster is right back where they were before.
Back on its May 7th meeting the Fullerton City Council had a hearing about street sweeping ticketing. It was such a super-critical issue that the Voice of OC wrote about it here. The author is none other than Mr. Hossam Elattar, the same boob who missed the Trail to Nowhere scam.
Reading the Voice article you get the idea that the ticketing was a great social injustice, affecting the lives of what the author charmingly calls the “working class” in overcrowded parts of town. This is the editorial narrative the Voice of OC always deploys in its “news” – the oppression of the underserved.
Of course at the meeting, this same tack was immediately propounded by Councilmember Ahmad Zarha, who would go on to conflate this parking issue with the principle one affecting neighborhoods with too many cars: overnight parking bans. But a hero needs a problem to fix for the “poorer part of town” as he put it. The two issues are quite different since cars of the “working class” are used, presumably, to take those people to work and are gone when the sweeper rolls by. Oops.
The sweeping problem is that regular street sweeping keeps our trash out of the Pacific Ocean and instead goes to a big hole in a Brea hillside. The storm water system is regulated by National Pollutant Discharge Elimination System (NPDES) permits. The age-old practice of allowing cars to park on street sweeping days is no longer a thing.
Good Lord, what a to do over a non-problem.
Staff, to their credit, recommended to keep things the way they are – weekly sweeping of each side of each street, and tickets for those vehicles that haven’t been relocated.
Three proposed “options” added significant costs for more complicated logistics and signage, or a violation of the NPDES permit. Whether these costs were legitimate or just jacked up to undermine the options is open to cynical speculation. Obviously, the violation option was just an obvious non-starter made to look like a choice. And with our latest budget crisis nobody is going to waste hundreds of thousands down this rathole.
Our city council (Fullerton, being Fullerton) hemmed and hawed and finally decided the current system was flawed and requested new options. Our Mayor, Nick Dunlap was not happy with the “one size fits all” approach and found an ally in Ahmad Zahra who again pitched the issue as a discriminatory one since the most ticketing took place in south Fullerton. Fred Jung didn’t say much except to say he wanted something better, or to leave the status quo. All so helpful. Dunlap even proposed possible refunds to ticket receivers.
So just as with the downtown noise fiasco this issue will be kicked around some more. I’m surprised it wasn’t sent to the Traffic and Circulation Commission for lengthy cogitation.
No one really bothered to ask what the big deal was and how come people can’t get off their asses and move their cars. Yes, multiple-hour windows of time are used for sweeping, but in reality the sweeping schedule is an extremely predictable period of time, easily planned for. No tickets are handed out after the sweeper passes. While it’s true people may forget to attend to their vehicles, the cost of a ticket is educative, as I well know. Also, my street is a few blocks away from an overcrowded collection of 1950s apartments with too many cars. And yet, on street sweeping days these good folk are astute enough to relocate their vehicles by the time the sweeper rolls through. And after it does the streets slowly fill up with cars again.
I’m left wondering how this item was even agendized in the first place. Staff didn’t want it, obviously, so it must have been done at the behest of councilmembers looking for an issue to waste their time and our money on.
The Fullerton City Council is holding a special meeting tonight – a 2024-25 Budget “workshop.” No work will get done but there will be shopping going on as staff begins its formal press to raise a sales tax.
There is a lot of self-serving verbiage about how well our City staff has performed its tasks up ’til now, but then the hard reality hits because budget numbers can’t pat themselves on the back.
There are some harrowing numbers in the proposed budget – including a $9,400,000 draw-down from strategic reserves. This means of course, that the budget is no where near balanced as City Hall apologists like Jennifer Fitzgerald and Jan Flory claimed when they ran the place into the red almost every year.
Let’s let our City Manager, Eric Levitt tell the tale:
“Financial Stability. The City has been able to over the last two years (for the first time in recent history of the City) to reach and maintain a 17% contingency reserve level. This budget maintains that reserve level; however due to an operating deficit, we will be utilizing one-time excess reserves this year and coming close to that 17% level in FY 2024-25 and below that in years beyond next year“
The overall picture gets even worse as the levels of reserves slowly dwindle away. After this year Fullerton continues to be upside from $7.5 to $8.8 million each year until the end of the dismal decade. We are not favored with the running reserve funds balances.
Infrastructure is supposedly a big deal. Which reminds me of a quotation attributed to Mark Twain: Everybody talks about the weather but nobody does anything about it. But this year we are told, we can push get going on our deteriorating infrastructure along by borrowing! Once again let’s heed the words of Mr. Levitt:
“I have also put together a strategy to increase that funding level to closer to $14 million over the next four years through the use of financing. However, there are both upsides and downsides to this approach which will be discussed with you in more detail at today’s presentation.“
Now this should be a red flag: borrowing to perform maintenance, a basic accounting no-no. And what form will the borrowing take? Not a municipal bond, you can be sure, It would likely be by selling certificates of participation or some other dodge to avoid municipal debt restrictions. Here’s the table that shows our Maintenance of Effort (MOE) shortfall without financing.
Now we all know that interest payments are made by somebody, somewhere, and that somebody is you and me. We get to pay the interest on debt incurred by years of municipal mismanagement by people like Joe Felz and Ken Domer and Jeff Collier who get to sail off to a glorious and massively pensioned retirement at 55 years of age.
And finally, to circle back to the story lead, here’s a distasteful nugget carefully slipped into the City Manager’s report:
“Staff recommends City Council review options over the next year to stabilize the budget and ensure the City remains financially sound.“
Jesus H. There it is. Not quite explicitly stated, but we know very well where this is going. Another general sales tax effort, just like the ill-fated Measure S of four years ago. The seeds for this have already been planted, of course, in a nasty little taxpayer-funded fishing expedition in the guise of a community survey. Last November I regaled the Friends with this slimy maneuver, here.
By the way, this is exactly the same process City Hall rolled out four years ago. And we will be told By Ahmad Zahra, Shana Charles and Vivian Jaramillo that if we don’t pony up we will be morally deficient.
Well, good luck Friends. This is going to be a long year and you can bet the farm that we will be asked to pick up the check – again.