City owner plans to hide financial details from city officials
The owner of the city’s Civic Center Plaza took a private look at how to handle questions from a city finance official as he sought to finalize his first of two 20-year leases with the city.
January 2015 emails obtained by Voice of San Diego reveal that a director of Cisterra Development told the president of his company that he was concerned the city’s director of debt management would notice a ” $ 1 million “in the company’s deal calculations beyond an expected gain of $ 10 million, according to him, senior city officials already knew if it had received a detailed briefing. Jason Wood of Cisterra also suggested he could “fake the formula” in his spreadsheet to hide the difference.
Lisa Halverstadt of VOSD reports that in a separate email moments earlier – and just weeks before city council approved the lease – Wood encouraged city real estate advisor Jason Hughes to contact a senior official municipal to make things right.
We now know that Hughes was essentially a business partner with Cisterra and had a written agreement to receive 45% of the profits from the agreement.
City council then approved 20-year capital leases with Cisterra at Civic Center Plaza in early 2015 and 101 Ash St. in 2016. Lawyers for the city are now seeking to rescind them following the revelation. explosive according to which Cisterra paid Hughes $ 9.4 million for his work on chords. Hughes has long been seen publicly as a simple volunteer advising the city.
Emails are the next latest revelation The Halverstadt scoop last week, revealing a previously undisclosed deal between Hughes’ company and Cisterra pledging that Hughes Marino would not receive just 45% of the developer’s net profits if the Civic Center Plaza deal went through, he would pay $ 45 % of the initial costs of the Cisterra deal if it doesn’t.
Hughes’ agreed participation essentially made his company a partner in the deal, although the deal specifically stated otherwise and explained that he was providing advisory and consultancy services.
Wood said in a deposition last week that Cisterra had expected its chairman to also get a 45% share of the profits of Civic Center Plaza and 101 Ash St. while Wood himself expected a share. of 10%, according to a draft transcription obtained by VOSD. .
Click here to read the full story.
Politifest is back
It’s that time of year again. Politifest – VOSD Annual Public Affairs Summit – is back! This year, all of our debates, panels and individual interviews will focus on law and justice in our region. We’ll have experts to discuss sentencing disparities, host a debate among county sheriff candidates, explore how local law enforcement is using surveillance technology, and more at our virtual summit. one week from October 18 to 22.
Buy your tickets here.
We offer several ticket options this year, ranging from full admission to single sessions, depending on your interests.
Also: We have another must see event on September 28th. Our panel, moderated by journalist Jackie Bryant, will examine the challenges and avenues for implementing a social equity agenda within the cannabis industry.
Learn more about this free panel here.
Gloria joins the Federal Homelessness Initiative
Mayor Todd Gloria on Monday pledged to house 2,065 homeless people in San Diego and their families by the end of 2022 with the help of housing assistance provided through the US bailout.
Gloria was one of the many mayors who spoke at the launch of the House America initiative of the Biden administration aimed at using unprecedented federal aid to relocate and build more housing for people now living on the streets.
The city received 480 emergency housing vouchers and $ 21 million in HOME Investment Partnerships grants and Gloria announced that the city plans to use this assistance to house hundreds and fund 1,053 new affordable housing units by the 31st. December 2022.
Gloria clarified that the targets reflect the minimum rather than a cap for the city’s work over the next year, which will also be bolstered by a rush of new public funds.
Data from the San Diego Housing Commission shows the city’s homeless programs helped move 2,645 households to permanent housing during the fiscal year that ended in June. Union-Tribune reported this summer, construction began on more than 1,700 subsidized housing units last year, up from 940 in 2019.
Gloria acknowledged on Monday that the city is spend more than ever on its homelessness crisis and that adjustments – and cuts – are needed.
“We have spent more than ever on this problem and yet we are not getting the results that San Diegans would expect,” said Gloria. “It really tells me that what we are spending funding on is not as effective as it should be and that we really need to take stock of what we are doing about the programs that are working, eliminating the ones that are not working. not and try and find new nationally recognized best practices in which to invest.
Gloria said he believed US bailout funds would help the city “double down on proven strategies” to help more homeless people in San Diego.
In other news
- City council will consider the city’s first sewer rate increase in more than 10 years on Tuesday. The proposal would be increase rates by nearly 17 percent next year and a total of 31 percent over the next four years. (Union-Tribune)
- Vista earns millions in revenue from cannabis dispensaries after approving recreational use. (Union-Tribune)
- New county rules on assessing the potential traffic impacts of new developments could end up making it more difficult to build housing in unincorporated areas. (Union-Tribune)
- The median selling price of a San Diego County home fell for the second straight month in August, but remained more than 13% above its level last August, a sign that there is no of significant relief in sight for those feeling the effects of County housing. affordability crisis. (Union-Tribune)
- A new study from the San Diego Housing Commission has found that less than 1% of local residential units remain vacant in the long term. (City News Service)
This Morning Report was written by Lisa Halverstadt, Maya Srikrishnan and Andrew Keatts, and edited by Megan Wood.
City owner plans to hide financial details from city officials Source link City owner plans to hide financial details from city officials