Thursday, June 15, 2006

Ending Eminent Domain and Insider Deals

In order to be constructive:

Let's recap some history:

****Grand Terrace has 13,000 citizens. It is a 3.6 square mile community. The 2000 Census reveals that Grand Terrace has the highest median income in the Inland Empire, $61,068. According to an article in The Press Enterprise dated May 31, 2002; “Its clean streets, quiet neighborhoods and no violent crime are big draws for its middle-income population.

*****Tom Schwab, City Manager, just got a raise in Salary from $110,000 to $150,000. I don't make as much as the City Manager's of Riverside County (population 285,537) or San Bernardino (populatiaproximately (190, 000).

*****The Dodson house deal on Michigan is another example of the workings of our city. Dodson was asking approximately $700,000 for his property. RDA went behind closed doors and came back stating there was nothing to report. Councilman Hilkey, who knows the rules, stated there is too. We just agreed to pay $1.2 million for the Dodson property.

******Approximately six years ago Council voted in favor of using eminent domain.

******January 26, 2006 City Manager Schwab, stated that although this is a step in the direction of eminent domain, staff is not asking Council to approve eminent domain this evening. Staff is asking the agency to allow them to establish a price for the Stringfield property. A price far below what had been previously offered.

ALARM BELLS SHOULD GO OFF WHEN YOU HEAR:

"This is a great project," and "eminent domain will only be used as a last resort." That just means that if the residents or businesses don't agree to sell, eminent domain will be used.

"We'll take care of you." You may be willing to move if there is sufficient compensation.

That's fine, but don't be fooled by any oral agreements as to what will happen. If you don't have it in writing, it doesn't mean anything at all. On the whole, while there may be a few exceptions, anything that a government employee tells you is not binding on the government agency.

Douglas Jacobsen, http://jacobsenholdings.com/ made an agreement with Tom Schwab to Redevelop the Barton Road area

http://www.cityofgrandterrace.org/business/brsp/LandUse_jpg.jpg http://www.cityofgrandterrace.org/business/brsp/Land_use.pdf Note area 4 "village commercial"

Jacobsen agrees to negotiate with the owners of the described "Village Commercial" area. Threat letters go out. Negotiators are sent in to tell owners that if they don't agree, they could end up with nothing. Frightened owners agree to sell.

Jacobsen presents a Lowe's project which includes a new Stater Brothers.

What happened to the "village commercial"?

*******The point is, if Council really means that they will not use eminent domain force the sale of private property to a private developer, why don't they make it an ordinance so stating? Let them do this and see who objects, it won't be the citizens of the community.

A community will not thrive if Property Ownership is not a real possibility for the homeowner, or business investor. As long as all of the City is faced with Eminent Domain shifting from one private owner to another private owner, who in their right mind would risk an investment in Grand Terrace. Orange County has recognized this to be a no win deal for the long run and has passed an Ordinace that protects private property ownership from being taken for the purpose of then selling to a private individual, for some economic gain to the city.

Grand Terrace could become prime property IF it was to become the first in San Bernardino with a Property Ownership Protection Ordinance strictly restricting the use of Eminent Domain for the Building of PUBLIC OWNED facilities, schools, roads, and parks. Untill this is done, Grand Terrace having come closer to using Eminent Domain against a Home Owner, to provide that land to a private Developer, has reasonable folk, both business owners, and home buyers looking elsewhere for their future purchases and investment.

Eminent Domain is still an option in Grand Terrace. No Property is free from the threat of Eminent Domain use in the City of Grand Terrace.