Be careful to faithfully execute your duties, City of LA BIDs! Eugene Van Cise is riding around in your BID inspecting your litter!!One of the emails in massive dump recently supplied by the Gateway to LA BID Executive Director Laurie Hughes was to her from City BID Analyst Eugene Van Cise. You can read it here for yourself,2 and the full text is available after the break, as always.
Take that, Hollywood BIDdies!Good morning Los Angeles! I am just dropping this quick note on you guys and friends to let you know that once again the forces of good are triumphant over the forces of evil BID badness! Because we are more popular! When I first wrote to you about this issue the evil twins at the Hollywood Property Owners Alliance had a world-wide ranking on Alexa.Com of 2,522,399 in the whole wide world, whereas we at MichaelKohlhaas.org had a pretty respectable but lower rank of 4,630,498. Well, everything is very different now! Take a look here:
Another Rick in the wall, part 97: Rick Lemmo, who is Rick Caruso’s senior VP for some kind of nonsensical crap, explains the zillionaire’s view of law-abiding high finance.For a brief moment this morning, I was worried that it’s a bad thing that my coverage of the Pacific Palisades BID, initiated mainly because of a confluence of my interest in CD11 and the fact that the criminal intransigence of Mike Bonin’s staff has made it essentially impossible for me to get records directly from them, is tending fairly unexpectedly towards the navel-gaze, self-reference, point-is-to-understand-the-world, nerdview rather than towards the outward-looking, the-point-is-to-change-it focus which is somewhat of an ideal around here. That anxiety took me about 35 seconds to get over, so we’re going meta again this morning sans apologia.4
In any case, whatever her manifold faults as a CPRA client may be, Laurie Sale, executive directrix of the Palisades BID, is at least a reliable source of minutes and agendas. You may recall that she was previously kind enough to send me the PPBID’s 2016 minutes and agendas, and this weekend she sent me the 2017 minutes and agendas through February. There’s some interesting stuff in there, primarily about street vending, which I will write on quite soon. The minutes also suggest that CD11 field deputy Sharon Shapiro5 is an actual member of the PPBID’s Board of Directors. I’ll be looking into this, not least because it’s reminiscent of Debbie Dyner Harris’s ill-fated attempt to nab a voting seat for CD11 on the Board of the Venice Beach Property Owners Association, which was slapped down ignominiously by City Attorney Mike Feuer as a conflict of interest.
But never mind that for now. The text for today’s sermon is this little slab of nonsense, found in the BID’s minutes for February 1, 2017:
BID received requests for public records – copies of meeting minutes, agenda, emails back and forth within the City, etc. from a gentleman who is requesting this from many BIDs. Elliot made a motion to retain attorney not to exceed $4,000. Rick seconded, all approved, motion carried. In the event that this person wants copies made, then we need to request payment. Rick motioned: “we don’t want to make it difficult for him, but to rather provide him every access to public records according to the strictest rules of law so that it doesn’t provide any financial detriment to the property owners of our business improvement district.” Susan seconded. Unanimously approved, motion carries.
Nicole Shahenian, you got some splainin’ to do!The background to this post is unavoidably technical and lengthy. If you’re already familiar with the Annual Planning Report process for BIDs as mandated by Streets and Highways Code §36650, you may want to skip directly to the report I submitted to the City Ethics Commission this morning.
One requirement that the Property and Business Improvement District Law places on BIDs, found at §36650, is the submission of annual planning reports (“APRs”) to the City Council:
The owners’ association shall cause to be prepared a report for each fiscal year, except the first year, for which assessments are to be levied and collected to pay the costs of the improvements, maintenance, and activities described in the report. … The report shall be filed with the clerk … The city council may approve the report as filed by the owners’ association or may modify any particular contained in the report and approve it as modified.
And it seems that the BID isn’t allowed to spend money on stuff that’s not discussed in the APR, so it’s not a trivial matter.
The way this piece of code plays out in Los Angeles is that, first, a BID director submits the APR to the Clerk along with a formulaic cover letter. For instance, here is the one submitted by Nicole Shahenian on December 30, 2014 to accompany the East Hollywood BID’s APR for 2015. This is essentially the same letter submitted by all BIDs:
Dear Ms. Wolcott:
As required by the Property and Business Improvement District Law of 1994, California Streets and Highways Code Section 36650, the Board of Directors of the East Hollywood Business Improvement District has caused this East Hollywood Business Improvement District Annual Planning Report to be prepared at its meeting of December 29, 2014.
And don’t forget that state law requires the City Council to adopt the report either with or without modifications. In Los Angeles this part of the process is initiated by the Clerk sending another form letter to City Council, recommending that they adopt the BID’s APR. It’s my impression that the Clerk doesn’t recommend modifications to the report at this stage. These seem to be handled by Miranda Paster before the APR is submitted to Council, as in this example involving the Media District BID. Anyway, take a look at Holly Wolcott’s January 14, 2015 recommendation to City Council with respect to the East Hollywood BID’s APR. Like every such document, this states:
The attached Annual Planning Report, which was approved by the District’s Board at their meeting on December 29, 2014, complies with the requirements of the State Law and reports that programs will continue, as outlined in the Management District Plan adopted by the District property owners.
And it goes on from there to recommend:
That the City Council:
FIND that the attached Annual Planning Report for the East Hollywood Property Business Improvement District’s 2015 fiscal year complies with the requirements of the State Law.
ADOPT the attached Annual Planning Report for the East Hollywood Property Business Improvement District’s 2015 fiscal year, pursuant to the State Law.
News of a settlement in the momentous lawsuit brought by the Legal Aid Foundation of Los Angeles on behalf of the Los Angeles Community Action Network, the LA Catholic Worker, and a number of individuals over the confiscation of homeless people’s property by BID and by City, has been rumbling around PACER for about one year now. Well, yesterday evening, the first concrete details of the ongoing settlement process arrived. The parties filed a joint report indicating that concrete terms had been reached with both CCEA and the City of Los Angeles. The City of LA part still has to be approved by City Council, but according to the document, this is likely to happen within 45 days.
This is just a brief note to announce the publication of a bunch of stuff from the Gateway to LA BID out by the Airport. Its executive director, Laurie Hughes, is a pleasure to work with. She’s calm, professional, has read the law, and abides by it. She and Mr. Mike Russell of the Wilshire Center are absolutely the two best BIDdies to work with when it comes to CPRA. There are also some minutes from the SLAIT BID. But enough fuzzies, and on to the goodies!
This turns out to be a huge problem for a number of unrelated reasons. First and most simply, the CCEA is a nonprofit 501(c)(6) organization. Unlike the more famous 501(c)(3) organizations, 501(c)(6) groups are allowed to engage in lobbying, but it’s unclear whether they’re allowed to support candidates for office.7 However, irrespective of any restrictions on donations, there are very clear reporting requirements.
Take a look at the CCEA’s 2015 tax form. In particular, take a look at question 3 of part IV, found on page 3 of the form. It asks unambiguously:
Did the organization engage in direct or indirect political campaign activities on behalf of or in opposition to candidates for public office?
And, as you can see in the image that appears somewhere near this paragraph, the CCEA unambiguously stated that they did not. It’s hard to imagine a less ambiguous form of direct political campaign activities than giving actual money, amirite? Hence I turned them in to the IRS and also to the Franchise Tax Board for this lacuna. Stay tuned in case anything happens!
Laurie Sale is a sympathetic character, no doubt, but if we start letting our personal feelings towards people stand in the way of enforcing the law then anarchy will follow as surely as the night follows the day, so we’re not gonna do that! Plus even sympathetic characters, if they’re lawless, can still pose to be dangerous!Here’s the short version of this post: Laurie Sale of the Palisades BID has been telling me for months that she is too busy to work on my CPRA requests. Yesterday she turns out to be too busy to send copies of emails in a reasonable format. She continues to be too busy to provide an estimated date of production even though CPRA requires it. She keeps telling me she only works half-time. BIDs sign a contract with the City which requires them to maintain staffing adequate for the completion of required work in a timely manner. CPRA compliance is required work. Being too busy to do it is not doing it in a timely manner. Too busy for CPRA, BIDs?? Breach of freaking contract!!
And here is a quick recap of how we got to this place. About 80% of the staff of this website grew up in Venice, so we all got really interested in the Venice Beach BID. Unfortunately, CD11 staffie Chad Molnar took offense at the use I made of the fruits of a couple CPRA requests and stopped complying with the law altogether, forcing me to turn him in to the City Ethics Commission. That’s going to take forever to resolve, though.
Thus thwarted in my attempts to learn about the inner workings of Mike Bonin’s weirdo little empire directly, I have turned to requesting materials of all the BIDs in his district, which are Westchester Town Center, Brentwood Village, Gateway to LA, and last, but never ever least, the Pacific Palisades BID,9 which was explicitly called out by Mike Bonin himself on the floor of the Council Chambers as one of the good BIDs. I have received some material from these halfwits-by-the-sea, which provided raw material for our most popular post in the month of January, but mostly their executive directrix, Laurie Sale, keeps telling me that she’s too damned busy to send stuff in a timely manner.
And finally, yesterday, she condescended to transmit a bunch of emails to me by forwarding them, with her own typed annotations prepended. I had asked for them in native format,10 and providing them in native format is required by CPRA.11 It’s important to get emails this way because it preserves the integrity of the headers and also it ensures that attachments arrive in precisely their native formats as well.12 I habitually request emails in native formats and most BIDs have figured out how to comply with this requirement. So I told Laurie Sale that her forwarded emails weren’t acceptable and could she please figure out how to send them in the right format. I can tell from her headers that she uses Outlook, so I sent her a link to Microsoft Support which explains how to export emails to a PST file. It’s not hard.
Carl Lambert, officer of the Venice Beach Property Owners Association, as he might have appeared on the cover of the late lamented Berkeley Barb which, given the parallel tragedies which have befallen both Berkeley and Venice, is kind of appropriate in a way sorta kinda..Well, since the first of the year, I have been obsessively checking the contract search tab of the City Clerk’s Council File Management System for any sign of an agreement between the City and the Venice Beach Property Owners Association, as that criminal conspiracy between Carl Lambert and his unindicted co-conspirators Mark Sokol and Steve Heumann is known to the world, for the administration of the Venice Beach BID. The CFMS13 is an essential tool, but its built-in search engine is freaking horrible, and it seems even horribler14 when searching contracts. So the fact that no contract popped up day after day after day didn’t exactly fill me with confidence in the theory that no such contract existed.
But today, after two freaking months with no sign of it, I finally emailed the ever-helpful15 Shannon Hoppes to ask if there was a contract or not. She answered quickly and told me that there was not yet any such thing. Well, hope springs and so on. Into my head sprang joyous visions of Carl Lambert and his infernal BID-buddies Mark Sokol and Steve Heumann being so overwhelmed with the furor and pushback called into being by their infernal BID that they took their BID-ball and went home. They are being sued, their shadowy BID consultant, the Divine Ms. Tara Devine, has as shaky a grasp on the law and also on the truth and also on basic human decency as her freaking clients, and maybe the pressure was all just too much for them, mused I.
Here’s a letter I sent this morning to Holly Wolcott and Miranda Paster about the fact that East Hollywood BID Director Nicole Shahenian appears to have violated LAMC 48.04(B) by stating that the EHBID’s 2015 Annual Planning Report had been prepared at a Board meeting on December 29, 2014, when in reality no such meeting took place. Also maybe look at the actual complaint I filed with the Ethics Commission.
