Urban Growth Machine Trashes Measure S … with LA Times Support

THE TWO FACES OF LAT--According to the Los Angeles Times editorial page, “Measure S isn't a solution to LA’s housing woes, it's a childish middle finger to City Hall.” Later, similar articles made the same and related points when the paper took the lead in opposing Measure S, the Neighborhood Integrity Initiative. 

Yet, the same newspaper’s investigative reporters have performed a tremendous public service by unearthing an extensive city planning pay-to-play operation at City Hall.  In what the Times called soft corruption, deep-pocketed developers make extensive contributions to elected officials in order to get their mega-projects permitted in locations where they are by barred by LA’s planning and zoning laws. Instead of telling the developers to move their projects to parcels where they are legally permitted, or to scale their projects down so they can legally build them in their preferred spots, the elected officials vote to change the planning and zoning laws for the individual lots where the mega-projects are proposed. 

Voila! Spot-zoning and spot-General Plan Amendments for those who pay-to-play. 

How can we make sense of this two-faced approach by LA’s most prominent newspaper? 

On one hand, the newspaper has totally substantiated one of the main arguments of the Yes of S campaign, City Hall pay-to-play to has become LA’s land use planning process. On the other hand, the same newspaper has repeated, nearly verbatim, the no on S campaign’s talking points. 

The easy part of my analysis – at the end of this column -- is to debunk the Times’ growing list of claims about Measure S. The harder part is to explain the paper’s two-faced approach. This is my explanation. 

For over a century, LA's land use planning process has been little more than real estate speculators calling the shots at City Hall. Los Angeles has experienced many waves of municipal reform – such as the adoption of the first zoning code in the United States in 1909 -- since the end of the 19th Century to control this type of corruption. Nevertheless, after each reform, such as the new City Charter in 2000, AB 283, and The General Plan Framework Element, City Hall methodically undermined each of them.

When Los Angeles was a new city with raw land, real estate speculation focused on housing construction. Despite occasional victories by good government forces in Los Angeles, there was never much concern about the environment, infrastructure, and public services at City Hall. Now, in 21st Century LA there is hardly any raw land left. In a famous essay from former city planning professors at USC, the end of this economically-induced low-density development model was described as "Sprawl Hits the Wall."  Their account also dovetailed with Mayor Tom Bradley’s LA 2000 – A City for the Future report, which attempted to transform Los Angeles from an unrestrained fast growth city to a controlled growth city. Both visions were then turned into an official plan, the General Plan Framework.  

Infill Development. 

But, what these scholars and civil leaders did not fully realize was that the end of raw land Los Angeles hardly meant the end of real estate speculation. The old Urban Growth Machine simply put on a new set of clothes. The same Growth Machine real estate investors turned their attention away from tract housing to infill housing, including luxury towers, McMansions, and small lots subdivisions. 

While the schemes to demolish and replace existing, affordable homes with more expensive residences do not require any spot-zones from the City Council, most new high-rise luxury apartment buildings do. They are usually tall, dense structures because of real estate economics – high profits follow high buildings. This, then, is the old Growth Machine’s new real estate model: private infill projects regardless of social consequences adopted plans and zones. 

But, even though tract housing and luxury towers look much different, their political and economic content are the same. Real estate speculators need to move fast on their projects. They lose money when they are hemmed in by planning, zoning, and the California Environmental Quality Action (CEQA) laws and regulations. Like before, they want a pliant City Hall and are willing to liberally contribute to elected officials to make sure they get it. 

If they can’t wangle this through widespread up-zoning and up-planning ordinances, such as those appended to the overturned Hollywood Community Plan, they then move on to their Plan B. They resort to pay-to-play and spot-zoning to legalize their new lucrative projects, one-by-one, in all the wrong places. 

How Measure S fits into this history. 

This is what Measure S is all about, the historic struggle in Los Angeles between good governance types who know that large cities need to be carefully planned versus commercial real estate interests bound together in the Urban Growth Machine, including boosters from local newspapers

The updated Urban Growth Machine, though, has learned a few lessons through focus groups and strong voter support in Los Angeles for two affordable housing initiatives, Measures JJJ and HHH. One is that they should present their old free market Reaganesque arguments about deregulation with liberal buzzwords. This is why the “no on S” campaign frames their case around affordable housing, jobs, and transit. It also explains why they claim that spot-zoning and spot-planning is necessary to build affordable housing (it isn’t). It also accounts for their claim that the strong planning and zoning championed by Measure S is really a clever tool of the haves to wage class struggle against the have-nots, largely racial and ethnic minorities. 

But, these election ploys are just window dressing for the hidden agenda of the real estate firms enmeshed in pay-to-play, including their partners in the press. Their priority was and still is maximizing return on their real estate investment. It is not about carefully planning cities, and this is the conundrum of the Los Angeles Times editorial board. They are caught between these competing narratives, even when one side of the argument comes from their own reporters. 

Do they side with their traditional Urban Growth Machine allies in the real estate sector, or do they side with their own reporters, as well as the advocates of good government? Will the paper continue to side with topsy-turvy real estate markets, as they have since the days of Otis Chandler, Harry Chandler, and Harrison Gray?  Or will they line-up with the solid planning and zoning that has been the best option for Los Angeles since the 1980s? 

Torn by these conflicting forces, the LA Times has taken a Solomon-like approach when it comes to Measure S. The first half of their editorial approach gives credit to their own reporting, and the second half ignores their own reporting, and parrots the talking points of the no on S campaign. In so many words the paper states, as do many no on S advocates, “Yes, LA’s City Hall is corrupt and yes, the City’s planning process is broken, but we still need pay-to-play to overcome our problems of becoming a world-class city.” 

The LA Times Editorial Board approach, though, ultimately fails. 

To pull off this two faced approach, through its own editorials, and subsequent feature stories by its own reporters and guest columnists, the Times simply became a megaphone for the no on S campaign. Since these talking points are well known, I have selected the most prominent ones to debunk. 

“Measure S would enact a permanent ban on General Plan amendments for any property less than 15 acres.” 

Really? The LAT should review their own editorials supporting the new year 2000 Los Angeles City Charter.  It is the updated City Charter that states that all General Plan Amendments must be for geographically significant areas. Measure S simply clarifies this Charter provision to mean significant areas must be 15 acres of larger, a specific plan, or a community plan.

“Because the existing city’s land-use plans are so out of date and so riddled with inconsistencies that it’s not unusual to need a zone change to build a simple apartment building in a row of existing apartment buildings.” 

Really? The Times’ own reporter’s summary of Measure S notes that commercial zones in Los Angeles permit the by-right construction of apartment buildings. The only impediment in some cases is Proposition U, and this is routinely avoided through density bonuses. They do not require a City Council-spot zone or spot-plan amendment. This is why Measure S is not a barrier to the construction of apartment buildings, other than high-rise luxury towers located in areas with low-rise planning and zoning.

“Measure S would worsen the housing shortage.” 

Really? No argument that Measure S could hinder the construction of luxury apartments in low-rise areas because in these locations the building permits depend on spot-zoning. But this luxury housing market is totally disconnected from the middle income and low income housing in short-supply. Any developer who wants to build for these markets has massive pent-up demand, many by-right building sites, and lenders around the world interested in the Los Angeles real estate market. Measure S does not stand in the way of any of this since the only barrier is, essentially, self-imposed. Affordable housing has such low profit margins that developers avoid it. No change in local zoning laws will be able to change this basic feature of real estate economics, the need to make a profit. 

The measure would do nothing to create more affordable housing or to protect existing affordable housing.” 

Really? Measure S requires that all land use decisions be consistent with the General Plan: “5) Require the City to make findings of General Plan consistency for planning amendments, project approvals and permit decisions.” This legal finding alone has the power to pull the rug out from underneath many types of speculative real estate leading to displacement, especially McMansions, Small Lot Subdivision, some mid-rise projects built through the demolition of older structures and the evictions of their tenants. For example the General Plan Framework’s Policy 4.3 is clearly one criteria that can and should be used to slow down gentrification and displacement, “Objective 4.3: Conserve the scale and character of residential neighborhoods.”

Furthermore, LA’s Community Plans, all part of the General Plan, contain anti-displacement policies, such as Policy 1.4-2 from the Wilshire Community Plan. It could easily be used as a finding to block gentrification, “Ensure that new housing opportunities minimize displacement of residents. Program: Decision-makers should adopt displacement findings in any decision relating to the construction of new housing.” 

Measure S will make it nearly impossible to convert a parking lot, a defunct public building or a strip mall into housing.” 

Really? Strip malls are built on commercially zoned lots, which allow by-right apartment buildings. As for public buildings and parking lots, it depends on the underlying zoning, but Los Angeles has no shortage of parcels on which apartments, both market-rate and affordable, can be built. In fact, the General Plan Framework Element concluded that Los Angeles has sufficient commercially zone land (which include apartment buildings) for all 21st century growth scenarios: The Plan's capacity for growth considerably exceeds any realistic market requirements for the future. For example, there is sufficient capacity for retail and office commercial uses for over 100 years even at optimistic, pre-recession, market growth rates.”  

Building on underused sites is the best way to create more housing without displacing existing residents. 

Really? LA Open Acres has created a searchable map of thousands of vacant lots in Los Angeles, including 3000 in South Los Angeles. Per the Times preference, most are suitable for residential construction without displacement, and Measure S does not affect them. But, since the year 2000 Los Angeles has lost 20,000 rest stabilized units, as well as many more affordable units, through demolitions and evictions. 

This is the dysfunctional city planning status quo that no on Measure S protects. In contrast, a Yes on S vote allows the city to slow down dislocation and gentrification through findings of inconsistency with the General Plan, as discussed above. 

In addition, Measure S would make it harder to address homelessness. Just three months ago, LA voters passed Measure HHH to build 10,000 units of low-income and permanent supportive housing for the homeless

Really? Measure S supporters also strongly supported Measure HHH. This is because the City of LA already owns thousands of parcels where affordable housing can be constructed by-right. It does not need to use private parcels or city-owned sites where the zoning does not allow residential. This is why the City of LA, which has had a program to use city-owned sites for housing since 1988, has never bothered to change the zoning or plan designations of sites not zoned for residential uses.

Don’t hold hostage badly needed housing with this overly broad ballot measure. 

Really? An updated General Plan can identify where in LA there is the greatest need for middle income and low-income housing. It can also determine where there is sufficient infrastructure and services capacity for increased housing, as well as which parts of the city have the greatest amount of zoning suitable for residential development. This information, especially if coupled with housing programs like HHH or a restoration of Federal and CRA housing programs, can address LA’s housing crisis. It is a much better model than the status quo, which almost entirely depends on the ups and downs of private real estate investors to provide a barely detectable trickle of affordable housing. 

Final words. 

In light of LA’s history, we know that a Measure S election victory will not be a permanent defeat for the Urban Growth Machine, but it will be a serious set back. Nevertheless, it will try to slowly worm its way back into City Hall with backdoor pay-to-play for spot-zones. Supporters of strong planning must, therefore, be vigilant. 

We also know that an election defeat of Measure S will quickly lead to backsliding over City Council promises to quickly update the General Plan, refuse campaign contributions from real estate investors, and improve Environmental Impact Reports. 

But, we also know that the process that Mayor Tom Bradley began in the late 1980’s to turn LA into a planned city will only grow. This is because Los Angeles’ future will become a dystopian world like Blade Runner if market forces continue to substitute for a strong, adhered to General Plan. 

As a result, either by choice or by urban implosion, an infill-focused Urban Growth Machine will lead to LA’s demise. The city will then have no choice but to fully embrace a planned future.

 

(Dick Platkin is a former LA city planner who reports on local planning issues in Los Angeles for CityWatch LA. Please send your comments and corrections to [email protected].) Edited for CityWatch by Linda Abrams.

We Can’t Hear You … Citizens Oversight of HHH off to a Fishy Start

LOOK AND LISTEN-Unfortunately, it appears we’re off to a red-flag-riddled start with Prop HHH. The first implementation meeting took place on February 17th, though you wouldn’t know it unless – well, actually, there is no “unless.” There was simply no reasonable way for any Angeleno to have found out about it. 

No worries. We’ll just listen to the audio recording of the meeting ... except that … 

The following brief letter is real and is reprinted here verbatim: 

Mr. Preven - earlier today you asked about audio recordings for both the COC [Civilian’s Oversight Committee] and AOC [Administrative Oversight Committee] meetings for Prop HHH. 

I followed up with staff and it is our intention, similar to all of our other bond oversight Committees, to record all of these meetings. However, there was a technical problem at the COC meeting last Friday and so we do not have an audio recording for that meeting. Tomorrow's meeting will be recorded assuming no problems with the equipment.  

We do not currently post audio recordings of any bond oversight meetings and do not currently have plans to begin doing so. We can and do provide them to the public when asked. 

Sincerely, [name redacted]

Assistant City Administrative Officer 

We’ll take that as …“Yes, I didn’t mean what I just wrote and of course we’ll post every audio recording immediately, so that the public doesn’t rise up and roar the Mayor and the rest of us out of City Hall and half way to Kingdom come.” 

Thank goodness that four out of the seven Citizens Oversight Committee members for HHH were appointed by the Mayor! With a straight shooter like Garcetti calling the shots, the public’s sure to get a good deal. Better yet, the other three Committee members were appointed by the not-at-all-compliant City Council. With that body’s integrity in the mix, the future couldn’t be brighter, right? 

Are you sitting down? One of the Mayor’s appointees for the Citizens Oversight Committee is former CAO Miguel Santana. Last we saw him he was receiving a commendatory resolution and a lionizing farewell. (By the way, he said that everyone can get in free to the County Fair  if they give him a jingle. We’ll keep that under our hats and not tell the people whose livelihoods depend on ticket sales.) 

But Miguel is back and although he has worked for the Mayor since forever, he’s turned over a new leaf during the past the six weeks and is now ready to do some 100% independent oversight.  

Here’s an idea; let’s lose the nascent obfuscations and secretiveness, and get this billion dollar operation off to a non-fishy start. Let’s make it so that an everyday resident can find an agenda or any notice of these oversight meetings without hiring a private detective. Trust and verify.  

And about that audio equipment? We know a great guy downtown. 

(Eric Preven and Joshua Preven are public advocates for better transparency in local government. Eric is a Studio City based writer-producer and a candidate for Los Angeles mayor. Joshua is a teacher.) Edited for CityWatch by Linda Abrams.

LA Primary 2017: Few Unknown Outcomes … Council District 5 May Be an Exception

ELECTION WATCH--One of the most competitive Los Angeles City Council contests that voters could decide next week pits the incumbent against two challengers – one with a large campaign war chest to leverage. (Photo above: Jesse Creed, Mark Herd, Paul Koretz, candidates for LA’s CD5)

Councilmember Paul Koretz is running for his third term representing District 5. Covering communities like Bel Air, Encino, Hollywood and Westwood, the district is among the wealthiest and well-educated among the council's 15 represented areas.

Koretz' challengers are Mark Herd, who has been active in several community groups and is the founder of the Westwood Neighborhood Council, and attorney Jesse Creed.

Among the challengers in the eight City Council contests on Tuesday's primary election ballot, Creed is the top campaign fundraiser, with the exception of one candidate running for the open District 7 seat in the San Fernando Valley.

Creed has collected about $298,800 in contributions, as of the latest filling deadline, but is trailing incumbent Koretz who has about $440,300 in contributions. Both Koretz and Creed also accepted public matching funds. Herd has not reported any fundraising.  

Creed claims he's gained significant local support by walking the district's neighborhoods. He said he has spent three to five hours a day since December knocking on doors.

"Our donation base comes from individuals, people with a pulse, not PACs, corporations or LLCs. And it comes from people who live in and around the city," he said.  

Koretz points toward accomplishments like helping to save the Century Plaza Hotel, boosting code enforcements and his work on environmental issues. He is well-known as an advocate for animal rights and worked to outlaw declawing cats and puppy mills in Los Angeles.

For his next term, Koretz said he'll be able to get more done for constituents thanks to funding improvements, a reference to improved city revenues since the recession. 

"We'll trim more trees, but we've been doing that already. We'll fix more streets, but we've been doing that already. We have money committed to fix sidewalks and we'll do that more aggressively," he said.

Creed promises he will only be beholden to voters and he's taken a pledge not to accept any money from developers or lobbyists. 

"I will be an independent voice for the neighborhoods, for residents, for the basic issues that people care about on a day-to-day basis," he said.

Koretz dismisses Creed's charges that the incumbent is beholden to developers. Koretz took heat for his handling of the developer Rick Caruso's high-rise residential building project located across from the Beverly Center. 

The Los Angeles Times reported that Koretz received $2,200 in donations from Caruso. After the story ran, Koretz removed his support for the project, and then ultimately restored his support after Caruso lowered the project's height by 55 feet.

Koretz told KPCC "it didn't turn out perfectly." He said he'd intended to remove his support for the project all along unless it was shortened, but was motivated to act faster when the Beverly Wilshire Homes Association held a press conference to voice strong opposition to the project.

"At the end of the day, I think it was the right compromise," Koretz said. 

He called Creed's campaign "the most shockingly negative" that he's ever seen. 

"Every developer in town knows I've been their worst enemy," Koretz said. "The idea that contributions have made me any less independent, I think, is absurd."

Despite the Caruso project controversy, Koretz was among five incumbent City Council members endorsed by the Los Angeles Times. The newspaper praised him for caring "deeply about his district and his constituents" and for making himself available to them. 

On the other hand, the Los Angeles Daily News endorsed Creed, noting his work as an advocate for homeless veterans and what it described as his broad knowledge of district issues.

Koretz also has the backing of the Los Angeles County Democratic Party and the Los Angeles County Federation of Labor, and several politicians like Mayor Eric Garcetti.

If no candidate reaches the majority threshold of 50 percent of voter support plus one vote in the primary, then the top two vote-getters will move on to the general election on May 16.

Voters who are still undecided on the District 5 race can check out KPCC's candidate survey, which features the candidates' backgrounds and answers to campaign questions. 

(This analysis was posted originally at KPCC radio.

-cw

Gov. Jerry Brown: Legacy Interupted

NEW GEOGRAPHY--The cracks in the 50-year-old Oroville Dam, and the massive spillage and massive evacuations that followed, shed light on the true legacy of Jerry Brown. The governor, most recently in Newsweek, has cast himself as both the Subcomandante Zero of the anti-Trump resistance and savior of the planet. But when Brown finally departs Sacramento next year, he will be leaving behind a state that is in danger of falling apart both physically and socially.

Jerry Brown’s California suffers the nation’s highest housing prices, largest percentage of people in or near poverty of any state and an exodus of middle-income, middle-aged people. Job growth is increasingly concentrated in low-wage sectors. By contrast, Brown’s father, Pat, notes his biographer, Ethan Rarick, helped make the 20th century “The California Century,” with our state providing “the template of American life.” There was then an “American Dream” across the nation, but here we called it the “California Dream.” His son is driving a stake through the heart of that very California Dream.

California crumbling

Nothing so illustrates the gap between the two Browns than infrastructure spending. Oroville Dam’s delayed maintenance, coupled with a lack of major new water storage facilities to serve a growing population, reflects a pattern of neglect. Just this year alone, the massive water losses at Oroville Dam and other storage overflows have almost certainly offset a significant portion of the hard-won drought water savings achieved by our state’s cities. A sensible state policy would have stored more water from before the drought, and would now be maximizing the current bounty.

Once a national and global leader in infrastructure, according to a report last year by the Center for Budget and Policy Priorities, California now spends the least percentage of its state budget on infrastructure of any state. In the critical Sacramento-San Francisco Delta, an ancient levee and dike system is decaying, and ever more stringent environmental regulations limit key state and federal water facility operations. To be sure, Brown has supported a “water fix” — a dual tunnel through the Delta — to address some of these problems, but his efforts have only produced a mountain of paper, rather than real-world improvements. In terms of preparing for the future, California’s current penchant for endless studies and environmental hand-wringing is fostering pre-Katrina Louisiana conditions, rather than the forward-looking capital investments previously the state’s hallmark.

Remarkably, this year’s water system fiasco could have been prevented if Brown had actually heeded his own climate change rhetoric, which anticipates that more rain and less snow will fall in the state. But his climate change obsession failed to spark any rush to modernize or expand water storage to capture the potentially increased rainfall. There has not been a major new dam or reservoir constructed since the first “Moonbeam” era — in large part, due to environmental opposition and Sacramento’s disinterest in basic state services.

You don’t have to be a hard-core climate activist to see the need to expand our storage capacity. Contrary to the prevailing media narrative, droughts and floods have been repeated throughout our history. Back in 1861, it rained for 54 days, flooding much of state and creating lakes in the Central Valley. Yet, Brown, and his immediate predecessors, have not chosen not to invest in this critical infrastructure, leaving us with an aging set of water resources that date, like the Oroville Dam, from the 1960s or earlier.

Nor is the water infrastructure alone in terms of neglect. California’s roads are among the worst maintained in the country. The Los Angeles area has the worst road conditions of all major metropolitan areas, followed closely by the Bay Area. But fixing roads is hardly a Brown priority, given that the state wants to put us all on a “road diet.” Instead, we are faced with the mounting costs for a high-speed choo choo that Brown wants to leave us as his legacy, but solves none of California’s basic transportation problems. Despite paying billions in gas taxes and other levies that are supposed to maintain roads, Californians, as the San Francisco Chronicle recently suggested, will be required to pay new, more regressive taxes if they want fewer potholes and sound bridges.

The wages of narcissism — and opportunism

Brown’s recent pronunciamentos suggest we will have ever more extreme climate policies, including virtual bans on all greenfield housing, and regulations covering everything from how houses are built to cow farts. Sadly, all this will have no real effect on the global climate, given California’s relatively small footprint; the shift of people, jobs and productive industries to other, less temperate states like Texas all but wipes out whatever might be gained from the state’s increasingly extreme greenhouse gas limitations.

Brown’s actions seem rooted in a desire to present himself as the savior of the planet. Yet, while he postures, Brown is leaving a legacy not of salvation, but rather of devastation — at least for everyone but a handful of tech oligarchs and the state’s pensioners. His successors must cope with voter ire over such mundane things as ever more crowded roads, a perennial shortage of secure water supplies and cascading prices for everything from electricity to housing. These realities, not the praise heaped on Brown from the media, will constitute the essence of his legacy.

(Joel Kotkin is executive editor of New Geography … where this analysis was first posted. He is the Roger Hobbs Distinguished Fellow in Urban Studies at Chapman University and executive director of the Houston-based Center for Opportunity Urbanism. He lives in Orange County, CA.)

-cw

 

Gather and Resist: What’s Next?

THIS IS WHAT I KNOW-Donald J. Trump and Co. have occupied the Oval Office for over a third of his first 100 days or edging toward 1,000  hours, give or take a few trips to Mar A Lago. Thirty-eight days have passed since Women’s Marches were held across the planet. 

To date, social media feeds are still primarily occupied by political posts, to the chagrin of those who long for the days of “cute puppies and grandmas” (this from an actual Facebook post I read a couple of weeks ago!) 

Since that first Tuesday in November, many of us have experienced disappointment leading to fear and anxiety. I’ve described the slew of executive orders and statements as brush fires we’re working to extinguish all over the yard while hosing down the house to protect it from going up in flames. 

So what can we do next? Can we survive this pace for another three years, ten and a half months? 

This past week, I co-hosted a Huddle event, a follow up effort in coordination with The Sister March Network. I attended a Town Hall hosted by Assemblyman Matt Dababneh (D-Encino) in the Van Nuys State Building atrium. Rep. Dababneh, Congressman Brad Sherman (D-Sherman Oaks) and state Sen. Bob Hertzberg (D-Van Nuys) fielded questions from a standing-room only crowd of constituents. Over the weekend, I also joined a group of Santa Monica and westside residents at the first Bake & Gather event coordinated by baker/restaurateur Zoe Nathan and colleagues. Lines snaked around a park and pastries sold out for the first time within the first hour as participants jammed twenty dollar bills into jars to raise money for the ACLU and Public Counsel. 

I spoke with and listened to participants at all these events. Here’s my takeaway. As much as we need to formulate concrete plans to address what’s going on in Washington, D.C., we also need to gather to heal. It’s far too easy to slip into hopelessness and despair. Knowing we are not alone goes a long way toward being able to address and even survive the days of this administration. 

During the election cycle, I joined a number of private Facebook groups that either supported Hillary Clinton or opposed Trump, as much to share information and grievances as to help me to process what was happening. During the final days before the election, we questioned what would happen should these groups disband. As a reaction to the outcome, many of the groups are still active but the focus has shifted to resistance, as well as commiserating and venting. 

Since the election, and certainly since January 20, we have seen the rise of many groups in response to Trump’s executive orders, cabinet picks, and presidency in general. The shift has attracted many who were previously not engaged in the process but who are fully embracing their new roles as activists. Throughout the country, hundreds of people attend town hall meetings, a far greater number than in years past. I’ve heard from friends who attended town hall meetings in red states where the constituents in attendance were plentiful, infuriated and anxious, just like us in blue states. In fact, more than a few members of Congress have refused to participate in town hall meetings because they don’t want to face the rage and questions of their constituents. 

Throughout the country, people are sharing to-do lists to contact representatives and address numerous issues and pending legislation. People are continuing to gather for marches, meetings, and to plan the next steps at every turn. They are mobilizing to turn around seats in the midterm elections. Others are contemplating running for local offices. 

This administration is a bit like a dysfunctional or unhappy marriage. Venting and commiserating certainly have value for getting through each day in response to all the landmines -- but taking the next step is equally, if not more, crucial. Complain, express disapproval, find like-minded people for peace of mind but also take steps to move forward

To find a Huddle group in your neighborhood, visit www.womensmarch.com/100/action2/.
Join the next Bake & Gather March 11, 12-3 p.m. at the (Silver Lake Reservoir’s Meadow 1850 W. Silverlake Drive), hosted by Roxana Jullapat (behind the forthcoming Friends & Family,) Proof Bakery’s Na Young Ma, and Alimento’s Harriet Ha.

 

(Beth Cone Kramer is a Los Angeles writer and a columnist for CityWatch.) Edited for CityWatch by Linda Abrams.

LA’s Own Bigamist-ery

@THE GUSS REPORT-An article I wrote last year cautioned that when speaking with politicians, and those surrounding them, one should “listen closely, because what they say matters; their evasion matters more; and their evasion while speaking matters most.”

Today’s column starts innocently at a community meeting in Hollywood a few weeks ago when a woman named Del Richardson offered money to the residents of 12 rent-stabilized addresses on Yucca Avenue and Vista del Mar Avenue to persuade them to move elsewhere so developers could use their landlord’s property for more lucrative purposes. (Photo above: Del Richardson, blue dress; Councilman Price, white jacket.)

What Richardson and her company, Del Richardson Associates (DRA), were in the habit of not offering is this tidbit of information: according to media sources, she is married to Curren DeMille Price, Jr., the Los Angeles City Councilmember who happens to be on the city’s Planning and Land Use Management (PLUM) Committee. (DRA which has been in business for decades does not appear to have a website, or at least not one that is currently functioning.)

When the locals confronted Richardson (who is listed as “Del Richardson Price” on the Councilmember’s Wikipedia page and elsewhere) about that relationship, and whether she was offering fair market money to vacate their units, she begrudgingly admitted that she is married to Price but claimed that she had no conflict of interest. Still, it is believed that she left or was removed from the project days after the disclosure.

In order to determine how long Price and Richardson have been married, a search of public records shows that Price was, indeed, married…to Lynn Suzette Price, his first wife, and that he twice filed for divorce from her in the Los Angeles court system, with neither effort finalized. Mr. Price’s second such effort to obtain that divorce tells a curious story, to say the least.

In 2012, Mr. Price tried to persuade the LA court to grant him a divorce hearing because, he claimed, he was unable to locate Lynn, and he wanted to serve notice on her via a paid announcement in a newspaper. But the court staff directed Mr. Price to ascertain from the post office whether Lynn used a change of address form, and to explore serving her at that address, if one was provided.

The case file shows no further activity in that divorce pursuit…because Mr. Price knew quite well where Lynn was living and working.

Lynn Price is an attorney practicing in Trenton, New Jersey. It says so on her website, and in various bar associations to which she has belonged since 2003, after receiving her law degree from Southwestern University. Her physical address, an active phone number and email address are all readily available.

Price knew all along where to serve his wife with divorce papers – had he wanted to.

Instead of having a New Jersey process server go to Lynn’s office address, Mr. Price’s SoCal process server swore to the court in a misdated 2012 document that no response was ever received to the two letters mailed to her Trenton office address.

No one can know why the process server or Mr. Price misled the court in declaring under penalty of perjury that Lynn could not be located, though his not wanting to split assets with his first wife that he currently co-owns with his second wife is a prevailing thought. Mr. Price is no amateur when it comes to serving legal papers. According to his biography, he earned a law degree from the University of Santa Clara. But according to the California Bar Association, he never received a license to practice law in California.

In addition to there being no record of a divorce between Mr. Price and his first wife in Los Angeles courts, court clerks in Sacramento, Houston, Trenton and Washington, D.C. (i.e. places where either or both were known to have lived prior to Price marrying Richardson) indicate there is no such divorce record in those locations either.

Lynn Price did not respond to several voicemail messages requesting comment on the status of her marriage to Mr. Price. Del Richardson, for weeks, did not respond to questions about her real estate dealings. And Mr. Price similarly dodged questions about either subject.

Until last week.

That’s when the LA Times endorsed Jorge Nuño, Price’s young Latino challenger for his CD9 seat on the LA City Council, a community which is quickly transitioning from largely African-American to predominantly Latino.

Within minutes of my publicly pointing out Nuño’s rise, I received coordinated emails – within minutes of each other – from Del Richardson and Price’s media relations person, Angelina Valencia.

Richardson declared, “I conduct all my business with honesty and integrity in a fair, ethical and forthright manner, and in compliance with laws and regulations.”

But this 2004 LAUSD audit concluded that Richardson’s firm overbilled the school district by $83,128 for unauthorized charges. The audit recommended that the amount should be recovered from DRA, or deducted from its future invoices. It is unclear whether Richardson’s excess fees were ever repaid, or if any of her other government contracts are under audit.

Moreover, while Richardson stated that there was “public disclosure of my business interests in the Councilmember’s ‘Form 700,’ economic interest statement,” there was no such mention of it in Price’s 2012 Ethics Commission Form 700, when he was a candidate for LA City Council. He only made that disclosure in subsequent years, when he already had the job.

The huge financial increase between Mr. Price’s 2012 and 2013 economic interest disclosures are the likeliest reason why he wanted a divorce from his first wife without serving her directly.

So if the LAUSD could not rely on Richardson’s financial figures, it comes as no surprise that the residents of rent-stabilized apartments were no less concerned that she dealt fairly with them, either.

And finally, there were the emails from Angelina Valencia, Mr. Price’s Communications Director, who, when asked when and where Price divorced his first wife, wrote back, I am currently running your request by the City Attorney's Office. I will have a response for you shortly.”

Why would the City Attorney’s office have knowledge of, let alone anything to say about, when, where – and whether – Mr. Price divorced his first wife? Ms. Valencia has yet to reply.

More on the Councilmember’s connubial chaos soon.

(Daniel Guss, MBA, is a contributor to CityWatch, KFI AM-640, Huffington Post and elsewhere. Follow him on Twitter @TheGussReport. His opinions are his own and do not necessarily reflect the views of CityWatch.) Edited for CityWatch by Linda Abrams.

Luxury Housing Creates Affordable Housing: Another Free Market Myth

PLATKIN ON PLANNING--It is a serious chore to keep up with the deceptive claims about Measure S. Today I heard that it would cause rents to increase because of supply and demand, while yesterday I heard just the opposite. Supposedly Measure S will block the construction of luxury housing (partially true), and it therefore reduces the amount of affordable housing because of supply and demand. (Graphic above: Caruso luxury development on Burton Way, Los Angeles.) 

Only one of these contradictory claims could possibly be true, even though as a city planner, I think they are both false.   This is why. Rents for luxury apartments, like Caruso Affiliated's at 8150 Burton Way and 333 S. LaCienega, are not connected to middle class and affordable housing markets. 

In response to Caruso's projects, charging average rents of $12,000 per month, nearby landlords are not going to move their rents either up or down. They will continue to impose the three percent annual rent increases allowed through LA’s Rent Stabilization Ordinance. And, because of vacancy decontrol, they will attempt to rent-out newly vacated units at slightly higher prices. Finally, when given the right combination of carrots and sticks, some landlords will sell out to the likes of the Wiseman Company

As the new owner, they will evict the tenants they inherited and then demolish the small apartment building they just bought. All of this takes place in a universe separate from the luxury apartments that sprout up down the street through City Council spot-zoning ordinances. 

Anyone, including opponents of Measure S, who truly wants to maintain affordable apartments and houses, needs to first stop the dislocation caused by urban infill, whether for luxury mega-projects, medium-rise apartment buildings, Small Lot Subdivisions, or McMansions. They then need to toughen up LA's Rent Stabilization Ordinance to eliminate automatic rent increases and vacancy decontrol. 

Beyond those defensive steps, if they want to increase the supply of affordable housing, they need to campaign for the restoration of all the slashed HUD public housing programs and the local Community Redevelopment Agency. 

“Law” of supply and demand: But what about the miraculous law of supply and demand that can simultaneously cause rents to increase and affordable housing units to appear from thin air? This assumed feature of capitalism actually plays little role in LA’s housing market for one obvious reason.   Supply and demand only works within capitalism's one true iron law, profit maximization. 

Maximizing profit is the purpose of all capitalist ventures and investment decisions. As a result, no one buys or sells things for long – including real estate -- when they are not making sufficient profit, regardless of surplus supply or unmet demand.   

If you look at housing in LA, there is a massive unmet demand for middle income and affordable housing, even when thousands of foreclosed properties sit empty. There are also vast piles of underperforming capital available for housing construction, as well as ample building sites for new market and affordable apartment buildings. How so? Because all commercially zoned property in Los Angeles can be used for by-right apartment houses.  While it is true that Proposition U limits the Floor Area Ratio (FAR) on some commercial lots, the subsequent Density Bonus Ordinance allows developers to dodge this restriction by including 10 or 20 percent affordable housing in their projects.

So given available capital, potential building sites, and enormous demand, why is there is so little construction of market and affordable housing in LA? As far as I know, no Los Angeles developers are choosing to meet this pent-up demand for affordable housing by building low-priced housing, even though it would immediately fill up or sell.  They can't make enough money at it, so they don't do it.  They need subsidies, and these subsidies have totally dried up through the elimination of Federal housing programs and the dissolution of the Community Redevelopment Agency.

Nevertheless, some anti-Measure S true believers maintain -- without a shred of evidence -- that the construction of luxury housing increases the supply of affordable housing. Through CityWatch I have repeatedly asked them where in Los Angeles one can find these new affordable units. So far no one has given me an addresses or told me about a neighborhood where this affordable housing can be found. If some reader knows its location, please speak up. 

Until I learn otherwise, my explanation is simple. There is no area in Los Angeles where new luxury housing causes the price of older housing to go down. Even when there is a glut of luxury housing, such as Downtown Los Angeles (DTLA), the price of non-luxury housing stays fixed or also slowly rises, as part of broad market trends.  At best, the landlords of the luxury housing repond to high vacancy rates with offers of free parking or a month of free rent. That is as far as they go, which is many thousands of dollars away from affordability.   

Filtering: The anti-S diehards also argue that new luxury housing eventually filters down to become affordable housing, although it takes 25 years.  I have therefore asked them where in Los Angeles one can find affordable housing that was built as luxury housing in 1992 or earlier.  If it actually exists, it is such a well-kept secret that even those who make these claims do not identify these hidden locations. They are as mum as could be, so if they know, they, too, need to finally speak up.

Domino Theory: Another new anti-Measure S supply and demand argument is a domino theory.  It argues that a new tenant of luxury housing frees up a lower priced unit, and this cascades through the entire housing market, creating affordable housing at the lowest ends.   

But, quite frankly this is just a quack theory contrived by the anti-S campaign.  There are no facts and studies whatsoever to back up this newly minted domino theory.  There is simply no evidence that the construction of luxury housing triggers a chain reaction that methodically generates low priced housing at another location.   

If this were the case, Hollywood should have lots of new affordable housing, but reality is just the opposite. Affordable housing, including rent-stabilized apartments, has largely disappeared in Hollywood. The supply of low priced units and the low-income people who lived in them have plummeted, alongside the construction of new luxury housing.   

Part of the reason is the demolition of affordable housing, about 20,000 units, since 2000, as well as broad increases in rents that have displaced the poor.  They have no choice but to double up, live in cars, live on the streets, live in garages and warehouses, or move to far-flung regions like Palmdale. 

It is time for Angelinos to get real and stop believing in the fairly tales dreamed up by the no on S campaign. The only housing bans in L.A. are the end of affordable housing programs funded by the Federal government and the CRA, as well as the profit-based business model of developers. The supposed law of supply and demand will never substitute for these programs, which is one more reason Angelinos should vote for Measure S.

 

(Dick Platkin is a former LA city planner who reports on local planning issues in Los Angeles for CityWatch LA. Please send your comments and corrections to [email protected].)

-cw

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