Mike Cruz, Staff Writer
Posted: 09/30/2009 05:08:21 PM PDT
A Grand Terrace councilman entered a not-guilty plea Wednesday to felony charges that he voted to send city advertising contracts to his wife's newspaper.
Jim Miller was arrested in July and charged with a conflict of interest. County investigators said they found that he voted to give $18,000 worth of city advertising to a weekly newspaper owned by his wife, Margie Miller.
On Wednesday, the councilman and his lawyer Richard M. Ewaniszyk, stood before Judge Douglas Elwell and entered a not-guilty plea at his arraignment in San Bernardino Superior Court.
If convicted, Miller could face up to three years in state prison.
He is to return to court Nov. 3.
Miller supporters, wearing small red, white and blue ribbons, lined the hallway outside the courtroom during his proceedings.
Afterward, Ewaniszyk confidently defended his client and said the charges against Miller "might be a misunderstanding."
State Government Code requires a contract for advertising between the city and the newspaper, Ewaniszyk said, and prosecutors have not produced any contract as part of their discovery.
"They have yet to produce the contract because there is no contract," Ewaniszyk said in a courthouse hallway.
Deputy District Attorney John Goritz, who was not present in court, later said he would not comment about evidence in the case.
The defense lawyer also said the city must publish its legal advertising in a general circulation newspaper adjudicated in Grand Terrace. The Grand Terrace City News, bought by Margie Miller in 2006, is the only such newspaper, he said.
Therefore, "the rule of necessity" required the city to advertise in the City News, said Ewaniszyk.
Jim Miller wouldn't talk about the case, but he said he was pleased with the "positive vibes" from his supporters.
Former City Manager Tom Schwab, who started advertising in the City News in 2006, said on Wednesday that the issue should not be in the courts.
The city manager, staff and city attorney recommended using Margie Miller's newspaper, he said.
Former Assistant City Manager Steve Berry became acting city manager when Schwab became ill. One of Berry's first actions, he told county investigators, was to cancel the contract with the newspaper because of what he believed was a conflict of interest, according to investigative reports.
Miller, who has been a real-estate services manager for San Bernardino County since April 2000, returned to work Aug. 18.
mike.cruz@inlandnewspapers.com
(909) 386-3880
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Not guilty, Grand Terrace councilman says of conflict of interest charge
10:47 PM PDT on Wednesday, September 30, 2009
By DARRELL R. SANTSCHIThe Press-Enterprise
Grand Terrace City Councilman Jim Miller pleaded not guilty Wednesday to a felony conflict-of-interest charge.
San Bernardino County Superior Court Judge Douglas Elwell entered the plea for Miller at an arraignment that lasted less than two minutes. He ordered Miller, who briefly responded to the judge's questions, to return to court Nov. 3.
Miller, 61, faces up to three years in prison if convicted of the felony charge stemming from his votes on routine items on the council's consent calendar that authorized payments to his wife's weekly newspaper, the Grand Terrace City News, for legal advertising from Oct. 26, 2006 through Aug. 12, 2008.
But Miller's attorney, Richard M. Ewaniszyk, said outside the courtroom that he doesn't believe the county district attorney can prove the case because the code governing conflicts of interest, Government Code Section 1090, prohibits public officials from entering a contract with the city or agency they represent.
Ewaniszyk said prosecutors have not yet produced a contract between the city and the Grand Terrace City News.
Deputy District Attorney John Goritz, who is prosecuting the case, declined to comment on the existence of a formal contract, adding that he would not discuss the evidence or facts of the case outside of the courtroom.
Goritz said Ewaniszyk's statement that the prosecution could not prove its case under Government Code Section 1090 "doesn't change our outlook on the case."
Grand Terrace City Attorney John Harper said by phone Wednesday that he does not know whether a formal contract with the newspaper was ever signed. He said it would not be necessary to have a contract to publish legal ads.
Harper said he believes the district attorney's office, among others, has "mushed together facts" related to a Government Code case and a separate law, the Fair Political Practices Act, which prohibits council members from discussing or voting on matters that would financially benefit them.
Violation of the Fair Political Practices Act could lead to a fine and an amendment to financial declaration forms, Harper said.
Goritz said he couldn't comment on Harper's belief that his office "mushed together" government code and the separate Fair Political Practices Act.
Miller has said the newspaper was purchased by his wife in 2006 and is her sole and separate property. If she is the sole owner and Miller has no financial interest in the paper, the councilman did not violate the Fair Political Practices Act by voting to approve the payments, Harper said.
Margie Miller has said the paper was running legal ads for the city before she bought it and that she stopped accepting ads after her husband received a letter from former acting Grand Terrace
City Manager Steve Berry in September 2008, stating he considered the practice a conflict of interest.
As she mingled with more than three-dozen supporters in the hallway outside the courtroom Wednesday -- most of them wearing red, white and blue ribbons --
Margie Miller voiced optimism.
"I'm looking forward to a positive conclusion," she said.
Other supporters offered more fervent comments.
Gene Carlstrom, a former Grand Terrace councilman who campaigned for Miller's election, described the accused elected official as "a pillar of the community.
"It's just a bad deal," Carlstrom said of the charge.
Thelma Beach said the prosecution "is ridiculous.
"You can see that the community is behind him," she said of Miller. "It is quite evident that the whole community feels the same way."
Staff writer Melanie C. Johnson contributed to this report.
Reach Darrell R. Santschi at 951-368-9484 or dsantschi@PE.com
Added Note: Well Council Watchers more details have been added and the City Attorney has sort of well kind of offered an "Opinion" once again. Did he offer this "Opinion" at the time he became aware of the "Possible Problem". NO... again, it is clear above all else it is time that Tom Schwab's hand picked Lawyer Friend needs to be replaced. Tom Schwab also hand picked and protected Steve Berry all those years.