Paramedic Tax Is A Hoax.

Your property tax dollars, approved by ballot initiative 40 years ago “for the specific purpose of establishing and maintaining a mobile intensive care program known as Paramedics within the area of the City of Brea” have been diverted through the Redevelopment Agency/Successor Agency since 1978.

Every Council resolution creating or renewing the Paramedic Program special property tax, for 40 years, incorporated exactly that language. Not a single member of the Brea City Council (save possibly one) had a clue regarding the magnitude of their blunder – the product of a purposeful deception by members of senior staff.

Sounds a hell of a lot like a slush fund to me.

Based upon documents gathered through the California Public Records Act (CPRA), from both the City of Brea and the Orange County Auditor-Controller’s office, it is fair to assume that every City Manager and Finance Director, at minimum, was aware of the fiscal hoax perpetrated upon Council and an unsuspecting public for 40 years.

How much are we talking about?

Over $50 million of your tax dollars. Supposedly, thanks to some obscure directive in State law, these funds have been funneled through the RDA since 1978. Roughly 40% was spent on administrative costs, debt retirement and other expenses – none of which had diddly to do with a paramedic service.

When the state dissolved Redevelopment Agencies in 2011, things didn’t get much better. In fact, they got worse. Originally we did get our hands on 100% of the tax revenues collected.

In 2011 that was cut almost in half – 55% was paid to the Successor Agency letting them do whatever they wished with it. The remaining 45% went into the Brea Redevelopment Trust where the county followed state directions to pay off residual debts of the RDA.

How much longer will we be paying off RDA debt?

Total debt for the Successor Agency is $196 million. A payment plan has been submitted to the state’s Department of Finance, upon which we will be making payments until 2036. That’s 60 years to retire the debts created by the Redevelopment Agency.

The issue in a nut shell.

The people of Brea clearly expressed what we were willing to be taxed for. There was a legitimate attempt in the beginning, by well intentioned members of Council, to fulfill the people’s wishes.

Underneath it all, the covert diversion of tax revenue has continued, virtually unabated, for 40 years.

The good news.

Facts by the ton, discoveries that would light up the eye of Julian Assange, have been dug out of the archives and studied by a “team” including myself, 2 members of Council and 3 long time community leaders.

The details of decades of staff reports, resolutions, budgets, county tax records are being poured over and the revelations emerging out of the data paint a clear picture of the atrocious irresponsibility that ran amok… without restraint, for 40 years.

The gorilla is being drug into the light and the right people, the people we elected to oversee city business, are back in charge.

Undoubtedly more will be learned in the near future. We may be called back into the voting booth to help rescind a failed tax and approve a remedy that will provide us with the sort of paramedic services we thought we were getting 40 years ago.

Stay Tuned.

We’re a long way from knowing the complete truth and from digging ourselves out of a hole 40 years in the making.

tax

Final Thoughts For 2017.

In the summer of 2011, then City Manager Tim O’Donnell told me that his favorite definition of leadership was, “Leadership is disappointing your constituents in increments they can absorb.” The implication was heinous and has proven to be the underlying rationale of countless decisions made by Council over the seven years I’ve written this blog. Here are a few of the most obvious:

  • Raising Council’s stipend and flex benefits.
  • Burying key decisions and large capital expenditures in the Consent Calendar.
  • Commission and Committee appointees are predominantly political payback.
  • Now defunct Redevelopment Agency created over $200 million in bond debt, most building or refurbishing city property for which there is no property tax which pays off the bond debt.
  • Brett Murdock tacitly appointed to lead opposition to The Brea Open Governance Act and The Brea Accountability Act. Murdock failed to disclose his leadership of the Breans Against Measures T & U PAC and was fined $2,000 by the FPPC.
  • City Clerk, under direction from City Manager and City Attorney violates election law resulting in litigation that was lost on appeal and cost taxpayers almost $1 million dollars.
  • Mayor, Mayor Pro Tem and City Manager take an ill-advised two week junket to Korea and Japan, sticking Brea taxpayers with the bill (Koreagate).
  • Mount a weak attempt to retain the Police Services contract with Yorba Linda.
  • Reorganize Brea FD rather than seriously entertaining the possibility that contracting out the services could save Brea taxpayers a bundle.
  • “Green Brea 2012” was a disaster but continues to be touted by city propagandists as a success. “Greenwashing” at it’s finest.
  • Staff recommends Council pay annual pension obligation at less than 100%, adding to the mounting debt. Brea had a surplus of $21.9 million in 2001, what happened?
  • 560 Fund (OC Landfill) earmarked to mitigate the traffic, noise, road damage and provide other “community benefits” is tapped twice to pay for the solar project – several million dollars. Remember, the one that would pay for itself.
  • Create Landscape, Lighting & Maintenance Districts (LL&MD) and Community Facilities Districts (CFD) to dodge Prop 13 and generate uncapped revenue. Promises made to “revisit” these for possible double taxation and to add sunset clauses has never found it’s way to the agenda.
  • Implement and repeat use of tiered water rates as a means of social engineering (deemed illegal in Capistrano Taxpayers Association, Inc. v. City of San Juan Capistrano – 2015).
  • Cal Domestic. Need I say more? If the FPPC, State DOJ and/or OCDA would get off their asses maybe we would finally get to the truth.
  • The perpetual appearance of collusion, backroom dealings and Brown Act violations every time Council reorganizes – never challenged, never proven but always questioned.
  • Madrona. Self-explanatory.
  • A “Civic & Cultural Center Demonstration Garden” proposed as a means of defraying costs of routine maintenance of Civic Center parking structure. Resoundingly rejected by residents.
  • City budget deemed to be balanced for the last 17 years yet Pension and OPEB debt soars to over $100 million.
  • Brea Envisions. Self-explanatory.
  • Originally proposed in January 1999, the just completed downtown parking structure could have been built for $5 million dollars with Redevelopment money without disruption to existing businesses.
  • Apprised of Constitutional due process issues buried within the Brea Municipal Code, triggered by the unilateral dismissal provision in Section 2.16.050, Council dawdles for 16 months without resolution. Will show up on agenda again soon.
  • $73,069,750 spent since 1977 for a “mobile intensive care” Paramedic Program appears to be nothing more than a subsidy for the Brea FD. (This will likely add fuel to the fiscal fires in 2018 as the truth becomes known.)

How the hell does this happen?

It’s become increasingly clear, as I read dozens upon dozens of staff reports that, more often than not, we’re getting only a fraction of the truth. Having reached the conclusion that Council, Commission and Committee members and the voting public in general lack the vision and intelligence to manage their community — staff has gradually hijacked all authority.

At best, only one or two senior city staff actually live in Brea. They have no local roots, no family history, no personal investment or emotional ties to the community. They are here to achieve their personal professional best, as dictated purely by academia and tweaked in a never ending array of seminars and symposiums. That their “product” ever actually benefits Brea is purely serendipitous.

They are here to put in their time, to receive salary and benefits well beyond that offered for comparable work in the private sector and to retire with six figure pensions.

From time to time they make mistakes, we all do. These blunders are the product of bad judgment, ignorance or inattention. These gaffes are committed with our money and are often magnitudes greater than the day-to-day mistakes we make.

Our city’s cancerous corporate culture.

To preserve their lucrative but fragile existence they are inclined to cover up the truth rather than admitting to failure. A corporate culture develops around them that renders them incapable of providing the whole truth. Staff seems to operate in a perpetual state of circling the wagons.

It is an endemic condition that can only be overcome by stripping them of the authority they have stolen and return it to those we elected to do the job in the first place.

And here’s the problem. As this bureaucratic shadow management culture has grown, their influence and power have as well and this creates a vacuum that eventually sucks in our elected representatives and blinds them to their complicity in the improprieties going on right under their noses.

Where do we take our city from here?

Revive “Clean Sweep” and put strong willed candidates into office who will not bow to the corporate mentality infesting those managing city business.

Candidates must give you a true sense of trust and confidence that accountability and transparency are not simply campaign rhetoric, that they will set aside any and all personal agendas (and bloated egos) – keeping a single focus upon what truly serves the people of Brea. Otherwise, they have not earned your vote.

city culture

Brea Downtown Parking Structure.

Empty ParkingNot since the Madrona Project and the Drought Tolerant Rock Garden has there been a more divisive and misunderstood topic than building a parking structure on Superblock 1. It may all come to a head at last on June 16th when Council wades through the latest staff report and recommendations.

If the recent record setting discussion on Nextdoor (130 comments) is any indication, Breans have had little to consider but rumor and speculation. That’s about to change. On Tuesday evening the full staff report was posted on the city’s website. Tough to find, but I’ve downloaded it and you can get it here.

A Little History.

At their special meeting in April, Council reached consensus that it’s time to build the parking structure. With over a decade of meetings, closed door discussions, faltering negotiations, false starts and the loss of redevelopment funds designed to pay for it… Council finally drew a line in the sand.

With full agreement that the parking structure must provide a minimum of 300 additional spaces beyond those within the building’s footprint and setting a not-to-exceed limit on cost to build at $9 million bucks – Council ask staff to come back to them with answers to these three simple questions:

  • What parking structure design will best meet the public’s need?
  • How much will it cost to build?
  • Where will the funds come from to pay for it?

Sounds simple, right?

When you read the staff report you’ll likely be as shocked as I was.

Buried within the 50+ pages of cityspeak, hidden agendas, a blizzard of numbers that would boggle the mind of John Nash must be some answers. If you can find any, please post a comment here and share them with the rest of us.

If you came away with more questions than answers, I know I did, I hope you will step up and share them with Council on the 16th.

The only conclusion I am able to state with any certainty is this; somehow Council needs to back away from the politics and focus on building a sensible and affordable parking structure that serves the people first.

There is a lot more riding on this than simply solving a decade old problem.

Somewhere between $30 and $40 million dollars of private investment hinges upon Council making a prudent and expedient decision. Click here for a condensed presentation of what some of that investment would be.

New Improv

A novel idea?

From day one Council’s mantra has been, “Parking in downtown Brea will always be free.”

Free ParkingThe most contentious element in the equation has always centered around funding. The greatest objections have always been against spending General and 560 Funds.

The probability of ever getting our hands on even a fraction of the redevelopment money, millions, pilfered by the state remains uncertain.

Who besides me would be okay with paying a buck or two to use the new parking structure? Seriously, it’s cheaper than valet, faster than walking from Parking Structure 1. I’d even pay a couple of bucks a month on my water bill for a resident’s annual pass.

Okay… it’s just a thought.

Parting comment.

When you email Council or, better yet speak during Matters From The Audience, try to avoid hunting for the guilty parties, getting mired down in petty politics and making ad hominem attacks. This does not move the discussion forward, serves no useful purpose and will not advance any cause that benefits the community.

Take a stand. Make a difference. Contact A Council Member.

Addendum: June 15

Ask Council to be bold enough to ask the hard questions and demand truthful answers.

It would seem prudent (at least to me and several thousand of my closest friends and neighbors), considering all the facts that have emerged in recent days, that Council should: issue an RFP not-to-exceed $9 million for Option 2: purely parking, a trash facility suitable to supporting the food and beverage business and police annex.

No housing. No commercial. Simply the parking structure we’ve needed for many years.

Cost should be managed as follows:

  • $3.7 million from returned RDA
  • $1.5 million balance of Valencia Drive fund
  • $300 thousand from Gas Lamp Square

This remaining balance of $3.5 million Council may choose between funding with reserves or a bond. It will easily be REPAID via valet and cell tower revenue and the incremental increase in sales tax.

Net cost to city/tax payers is ZERO. How’s that for a parking structure plan?