Tuesday, January 31, 2012

The Flanders Foundation v. City of Carmel-by-the-Sea, et al. Case Number H035818: City’s Petition for Rehearing Denied

ABSTRACT: Today, Tuesday, January 31, 2012, the Court of Appeals announced the appellate panel denied the City’s Petition for Rehearing (The Flanders Foundation v. City of Carmel-by-the-Sea, et al. Case Number H035818). With the opinion filed on January 4, 2012, the opinion will now become final on February 3, 2012. The Court’s Docket of relevant recent actions is reproduced. And the City of Carmel-by-the-Sea’s Petition for Rehearing (H035818) is embedded; essentially, the City argued, as follows: In the City’s STATEMENT OF FACTS AND ANALYSIS, the City argued that the “City Responded to Skip Lloyd’s Comment” and “Whether Explicitly or Implicitly, the City Addressed the Core Issue Raised by Skip Lloyd.” The City concluded that "Because the Court’s decision was based on an error of fact that was central to this Court’s opinion, the City of Carmel-by-the-Sea respectfully requests that this Court order a rehearing of this appeal.” Thus, the appellate panel did not agree with the City's arguments and denied the Petition for Rehearing.

6th Appellate District
Docket (Register of Actions)
The Flanders Foundation v. City of Carmel-by-the-Sea, et al.
Case Number H035818

01/04/2012 Opinion filed. (Signed Published) The trial court's judgment is hereby modified to delete the court's finding that the FEIR failed to adequately address the Surplus Land Act issue. As so modified, the judgment is affirmed. The parties shall bear their costs on appeal. (ndm, wcd (retired), bw (pro tem))

01/19/2012 Rehearing petition filed. Defendant and Appellant: City Council of the City of Carmel-by-the-Sea
Attorney: Jon R. Giffen

01/31/2012 Petition for rehearing denied. Appellants' petition for rehearing is denied. (ndm, wcd, retired, bw, pro tem)

CITY Petition for Rehearing 1-18-12 _H035818_

City of Carmel-by-the-Sea’s Petition for Rehearing (H035818)

Sunday, January 29, 2012

GOVERNMENT ETHICS: The Lucifer Effect I - IV, Blind Spots I - VIII & Apologies: Central to a City's Ethical Environment, Apology Revisited and Apology - The Canary in the Mine of Local Government Organizations

ABSTRACT: In the context of the current campaign for mayor and city council and City Administrator Jason Stilwell’s moral, non-situational ethics philosophy and in a constructive attempt to address the poor ethics environment of Carmel’s city government characterized by city employees’ claims of “hostile workplace environment,” sexual harassment, employment discrimination and retaliation, subsequent monetary settlements totaling approximately $1.4 million and the City Council’s failure to accept responsibility and give a complete and honest apology, titles of posts with selected excerpts for educational purposes and links to posts written by Robert Wechsler, Director of Research, City Ethics, from CityEthics.org “making local government more ethical,” are presented.

The Lucifer Effect I — A Situational Approach to Local Government Ethics
Robert Wechsler
Director of Research, City Ethics
Wed, 2011-10-12

Local governments are hardly prisons, but they are situations that, especially where there are poor ethics environments, can place strong pressures on individuals to go along with unethical norms. The pressures involve us in loyalty, secrecy, becoming and remaining one of the gang, and playing the games necessary to raise funds in order to get re-elected and to appease those with power, whether in the government, in the party, or in the community (that is, large taxpayers, employers, developers, contractors, organizations, and their lobbyists).

The Lucifer Effect II — Situational Forces
Robert Wechsler
Director of Research, City Ethics
Wed, 2011-10-12

The Effect of Situational Forces on New Officials
New officials often get pulled into feeling superior to ordinary citizens. They come in as members of the public who don't know what's what, but they have the chance to become a member of the in crowd, knowledgeable, respected, and arrogant. This is hard to resist. And with the idea of having special knowledge and becoming one of the elect comes the idea that you have special rights, that you deserve things others don't deserve. You are entitled to treat yourself and others differently from the average citizen. This is one of the principal factors in the process of co-opting. And once you're accepted, it's hard to act in such a way that you might be kicked out. It takes a strong rather than a good character. It takes independence of mind as well as courage.

The Lucifer Effect III — Debriefing and Other Ways to Deal with Situational Forces
Robert Wechsler
Director of Research, City Ethics
Thu, 2011-10-13

Zimbardo employs a three-part analysis, adding to the individual and the situation what he calls "the system," the forces that create the situation, that give legitimacy to the unethical norms in a poor ethics environment. "The system" is not just the current leaders, because systems, their norms and unwritten rules have a history. But each set of new leaders chooses whether to allow the unwritten rules to continue, and they also determine the level of pressure that is placed on subordinates to play by the rules, as opposed to the laws or the ethics, and how to create this pressure, that is, through intimidation, setting an example, making examples of those who don't play by the rules, etc.

The Lucifer Effect IV — Miscellaneous Observations
Robert Wechsler
Director of Research, City Ethics
Fri, 2011-10-14

Resisting Influences on Our Behavior
What should a local government official or employee's goal be with respect to dealing with situational forces? It's good to be involved with our environment and to trust those we work with and for. But we also need to distance ourselves to some extent. One advantage government officials have is that there is someone in our organization other than superiors, colleagues, and subordinates. There is the public. Distancing oneself from other officials and employees can take the form of feeling responsible to the public, trying to look at things from their point of view. Taking the public's point of view will cause you to look for appearances of impropriety, which are the core of government ethics.

Being Your Own Guard
I've focused exclusively on the guards in the Stanford Prison Experiment, because they are effectively in the position of government officials: the people with power. But there is something to be learned from the way the prisoners acted. As Zimbardo says, they "became their own guards." They accepted and internalized the rules that were imposed on them, and even when they were given the chance to leave prison, they walked right back in.

This is true, to some extent, of the public. It has the true power in our system of government, and yet it accepts the rules that officials place on them and usually feels powerless. This can best be seen by the failure to attend public meetings and even to vote. But even among those who vote and attend meetings, it can be seen by the acceptance of decisions without explanations and the acceptance of explanations that are seriously inadequate. It can be seen in such statements as, "They're all crooks." It can be seen in the tendency not to stand up to irrational limitations, unless they are seen as partisan. It even takes the form of open support for unethical behavior, especially when one is member of a group that has finally taken power and has, one feels, the right to take what is "rightfully ours," even if what is taken are one's own taxes.


Blind Spots I — Unconscious Unethical Conduct
Robert Wechsler
Director of Research, City Ethics
Mon, 2011-04-04

Blind Spots: Why We Fail to Do What's Right and What to Do about It by Max H. Bazerman and Ann E. Tenbrunsel (Princeton University Press) is a must-read book for government ethics practitioners. This new book (it came out just a couple of weeks ago) incorporates a great deal of research in behavioral ethics to look (1) at what is going on in the minds and actions of those who act unethically but do not intend to act unethically, and (2) at what can be done to change their behavior for the better.

Bounded Awareness
The mechanism that prevents us from seeing what we need to see to make ethical decisions is what the authors call "bounded awareness." We tend to exclude important, relevant information from our decision-making by placing bounds around our definition of a problem. In effect, we put on blinders, like a race horse. We narrow our concept of responsibility (e.g., to our boss rather than to the public), we focus on instructions that are given to us or support a decision our supervisor or local legislators support. We do not ask for neutral external input, and we reject those who differ with us as partisan or self-interested. We focus on meeting a deadline rather than seeking out more information and opinions. We limit ourselves to our functional boundaries, such as engineering, law, finance. We give in to groupthink, that is, seek or accept unanimity rather than consider alternatives. We act out of fear, that is, fear of rejection, of being seen as goody-goody, of the consequences of whistle-blowing, of threatening our job. We focus on the law rather than the ethics.

Blind Spots II — Motivated Blindness
Robert Wechsler
Director of Research, City Ethics
Wed, 2011-04-06

Although we have more trouble seeing our own unethical behavior than we do seeing others' unethical behavior, Max H. Bazerman and Ann E. Tenbrunsel, the authors of the new book Blind Spots: Why We Fail to Do What's Right and What to Do about It, have found that people have a tendency "to overlook the unethical behavior of others when it is not in their best interest to notice the infraction." They call this "motivated blindness."

In the context of local government ethics, motivated blindness can best be seen when local government attorneys are advising their "clients," that is, officials, especially top officials and local legislators, on ethics matters. Too often, they give officials the advice that is in their personal interest (that is, what will not hurt their personal reputation) rather than the advice that is in the public interest.


Blind Spots III — Ethics Training, Ethics Fading, and Ethical Reasoning
Robert Wechsler
Director of Research, City Ethics
Wed, 2011-04-06

"Most of us dramatically underestimate the degree to which our behavior is affected by incentives and other situational factors." This is one of the most important sentences in Blind Spots: Why We Fail to Do What's Right and What to Do about It, a new book by Max H. Bazerman and Ann E. Tenbrunsel (Princeton University Press).

Ethical Fading
This sentence is central to the authors' concept of "ethical fading." Ethical fading involves the elimination of the ethical dimension of a decision. Goals, rewards, informal pressures, even compliance systems effectively blind us to the ethical implications of what we do. The result is that we do not see our behavior as ethical, but as something else: acting for our agency, acting strategically, considering the financial costs and benefits, pushing our party's platform, doing what we are required to do by law, doing what it takes to look good.

Ethical fading is an important obstacle to acting ethically.


Blind Spots IV — Egocentrism
Robert Wechsler
Director of Research, City Ethics
Thu, 2011-04-07

Egocentrism (what they call the "egocentric bias") is at the heart of unethical behavior, in the government ethics sense. When the public interest conflicts with an offical's self-interest, that self-interest is what leads the official to deal irresponsibly with the conflict. It is the official's self-serving judgments that lead him to different conclusions than others have regarding what is a fair solution to a conflict situation.

Blind Spots V — Informal Norms
Robert Wechsler
Director of Research, City Ethics
Fri, 2011-04-08

Government ethics involves itself primarily with the formal norms set forth in ethics codes. But as the authors of the new book Blind Spots: Why We Fail to Do What's Right and What to Do about It (Princeton University Press), point out, "It is through informal mechanisms that employees learn the 'true values' of the organization."

Only when the informal and formal are the same, will the formal be truly effective.

When you do not hear complete and honest apologies, you probably have a poor ethics environment, that is, an organization with informal norms that put self-interest (that is, the true leaders' self-interest; these "true leaders" are not always the ostensible leaders) over the public interest.


Blind Spots VI — Psychological Cleansing and Obfuscation
Robert Wechsler
Director of Research, City Ethics
Sat, 2011-04-09

The denial of unethical behavior, which usually occurs long after the behavior itself, is usually the worst part of an ethics scandal, the adding of insult to injury. The public is faced with two possibilities when an official denies that he did something unethical. This dilemma is well described in Blind Spots: Why We Fail to Do What's Right and What to Do about It, a new book by Max H. Bazerman and Ann E. Tenbrunsel (Princeton University Press):

It is possible that the person doesn't actually believe he behaved ethically, but rather claims to be ethical to reduce the damages associated with his unethical actions. [Another] explanation is also the most troubling in terms of improving one's behavior. It is possible that the person inherently believes in his own ethicality, despite the evidence to the contrary.

Note that the authors say the second explanation is more troubling in terms of improving one's behavior, not what many of us would say: that the official who thinks so well of himself is simply in denial, detached from reality, caught up in a world of power and yes-men. When you believe you act ethically because you are an ethical person, you have no incentive to analyze situations for their ethical aspects or bring ethical reasoning into play.


Blind Spots VII — Indirect Blindness and Moral Compensation
Robert Wechsler
Director of Research, City Ethics
Sun, 2011-04-10

Indirect Blindness
The authors talk about a tendency they call "indirect blindness ... the tendency not to notice unethical actions when people do their dirty work through the behavior of others."

Even when data suggesting unethical intent is obvious, we still let those who behaved unethically off the hook. ... The public and the press too often fail to notice the dirty work that individuals and organizations perform through intermediaries. … By engaging in indirect action under predictable circumstances, decision makers trigger indirect blindness in the eyes of observers and thus are let off the hook for the harm they cause.

In government ethics, the public often recognizes that something is wrong, but they don't know whom to blame, whom to hold accountable.


Blind Spots VIII — How to Handle Our Blind Spots
Robert Wechsler
Director of Research, City Ethics
Mon, 2011-04-11

One solution is to align what they call our "want" and "should" selves, that is, our self-interested and our public-interested feelings, by becoming aware of our blind spots, that is, by recognizing our vulnerability to our own unconscious biases.

Another way to deal with our blind spots is training that helps us identify and correct the distorted feedback we give ourselves, emphasizing the psychological mechanisms that lead to inaccurate recollections and unethical behavior.


Apologies: Central to a City's Ethical Environment
Thu, 2006-07-06
Robert Wechsler
Director of Research
City Ethics, Inc.

"As canaries were to mines, apologies are to a municipality's ethical environment. If you don't see a good number of sincere apologies, then ethics and accountability are probably dead in your town."

"According to Aaron Lazare, in his excellent On Apology (Oxford University Press, 2004), an apology is "an encounter between two parties in which one party, the offender, acknowledges responsibility for an offense or grievance and expresses regret or remorse to a second party, the aggrieved." An apology can also include an explanation for the offense, an expression of shame or guilt, an expression of intention not to commit the offense again, and reparations."

"One reason apology is such a good sign of an ethical environment is that it requires just what good ethics requires: honesty, generosity, humility, courage, sacrifice, and commitment to preserving trust in government."

"And then there is the ever popular cover-up. It usually begins by ignoring a grievance, and then moves on to denying what happened and trying to demonize the grievant. Of course, cover-ups are always worse than the offenses, and if they come out, they become a big scandal, undermining public trust more than any other approach. Cover-ups are a bet that the offenders won't get caught. And most cover-ups stay under cover, but they use up a great deal of resources for a horrible cause."

"The failure to apologize has serious consequences. It makes people feel powerless and cynical, and it makes people believe that their values are different from those in government, that government cannot be trusted to hold up its side of the social contract, that in government there are no consequences for doing wrong. All of these feelings make people less likely to get involved in government matters. The failure to apologize fuels people's anger, making compromise more difficult
."

Apology Revisited
Wed, 2007-03-28
Robert Wechsler
Director of Research
City Ethics, Inc.

"This is equally true of government officials. The coverup is worse than the crime. Everyone knows this, but so many officials believe they can get away with it if they make a big enough smokescreen. And often they do. But at what cost, to them and, most important, to the public? People are forgiving, but not when you refuse to respect them and recognize the harm you cause."

"Government officials too need to have full disclosure and complete transparency. It will dramatically lessen the number of ethical mistakes, cut corruption, and make the public feel more trust in their government
."

Apology - The Canary in the Mine of Local Government Organizations
Tue, 2008-05-20
Robert Wechsler
Director of Research
City Ethics, Inc.

"The lack of true apology from members of a government organization is a dead canary in a mine. An organization without true apologies is one where officials put themselves ahead of the good of the community, where people think in terms of getting away with mistakes and misconduct. Such an organization is closed and without ethical leadership. It is an organization consisting of people who either do not respect the dignity of others, or are too afraid to speak up."

ADDENDUM:
Top Ten Ethics Films

Recommended Reading

Sunday, January 22, 2012

FOR SALE $6,500,000: ‘Hacienda Canada De La Segunda,’ 22,000 sq. ft. Spanish Eclectic Style Hospital Building, a 4,000 sq. ft. Former Nurses Quarters, & a 2,000 sq. ft. Residence With Garages on 3.68 Tree-Studded Acres @ 24945 Valley Way, Carmel

UPDATE (25 January 2012): Additional property information on “Hacienda Canada De La Segunda” from COLDWELL BANKER property information sheet (information sheets available in box on FOR SALE sign at property location) is presented.

COLDWELL BANKER
DEL MONTE REALTY


PROPERTY 24945 Valley Way
Carmel, Ca 93923

PRICE $6,500,000

PROPERTY INFORMATION
LOT SIZE 3.68 Acre
EXTERIOR Stucco
INTERIOR Plaster
ROOF Tile
FIREPLACES Dining Room
FLOORS Linoleum, Cement
GARAGE 3 Car
A.P.# 009-061-003
ZONING 7F

DESCRIPTION
Hacienda Canada De La Segunda – Potential Galore in Carmel

"Originally built as a metabolic clinic this beautiful Mediterranean offers a multitude of possibilities for the imaginative entrepreneur. Unique to Carmel, the 22,000 square foot terraced two story concrete and wood framed Spanish Eclectic style hospital building, a 4,000 square foot former nurses quarters, and a 2,000 square foot residence with garages are all situated on 3.68 tree-studded acres adjacent to Highway 1. Once permitted as a medical/health care facility and with abundant water credits available, this property is perfect for a multitude of users; perhaps a medical clinic, a health club, a care facility, or even the retreat for a large family. This beautifully situated property and dramatic historic structure offer...potential galore in Carmel."

ADDITION INFORMATION AVAILABLE
Tim Allen
DRE # 00891159
(831) 214-1990 – Cell
(831) 626-221 – Office
www.TimAllenProperties.com

ABSTRACT: At the Board of Supervisors November 15, 2011 meeting, the Supervisors unanimously voted to disapprove proposed amendments to the Carmel Area Land Use Plan and Coastal Implementation Plan to establish a High Density Residential (HDR) land use designation and HDR zoning district, and to change the existing designation and zoning on a 3.68 acre site from MDR/2 (Medium Density Residential/2 units per acre) to HDR/12.5 (High Density Residential/12.5 units per acre); and deny the application. (PLN070497 - Rigoulette [Villas de Carmelo], 24945 Valley Way, Carmel, Carmel Area Land Use Plan), as proposed by Widewaters Group. During Public Comment, Aengus Jeffers (attorney), on behalf of Rigoulette LLC (owner)/McDowell Family (owner of Rigoulette) stated that Widewaters had terminated their option and the McDowells were back in control of the property. Note: Victoria Knight-McDowell, invented Airborne, and Thomas “Rider” McDowell, Knight-McDowell Labs. Jeffers stated that he and his client want to find a use for the hospital building. Going forward, they will start with “LandWatch and the City of Carmel proposed 16-unit property” and determine whether or not it is economically feasible. If it is economically feasible, he said they want to meet with neighborhood residents and other interested parties, and come back to this Board with a project blessed by Sacramento involving substantial savings of water. Note: Video link: (02:32:10 – 02:35:45) Note: "16-unit" project is Alternative 8, Recirculated Draft Environmental Impact Report (RDEIR), supported by LandWatch and the City of Carmel-by-the-Sea (see below). Over two months later, on Januray 18, 2012, the McDowells have listed the former Carmel Convalescent Hospital property with real estate agent Tim Allen, Coldwell Banker, asking price $6,500,000. Property Detail “Remarks” state, as follows: “Built as a metabolic clinic this stately Mediterranean offers many possibilities. The 22,000 sq. ft. Spanish style main building and 2 auxiliary buildings are on 3.68 acres. With abundant water, the property is perfect for many users; a medical clinic, a health club, a care facility or even a family. This beautiful property and dramatic history structures offer...potential galore in Carmel.” Alternative 8 Description and Summary, RDEIR, is reproduced; BOARD OF SUPERVISORS relevant DRAFT ACTION MINUTES are provided; and property details are reproduced with links to further information about the property and photographs.

6.4.8 Hybrid Existing and High Density Zoning Alternative (8)
Description
Per public comment requests, the Hybrid Existing and High Density Zoning Alternative (hereafter referred to as Alternative 8) consists of a combination of the Existing Zoning Alternative and the rehabilitation of the historic structures from the proposed project. Under Alternative 8, the two existing buildings that comprise the historic resource would be rezoned for high density residential uses and converted into approximately 10 units. The remainder of the project site would include buildout at the existing medium density residential zoning (MDR/2), which would include the demolition of the nurses‟ quarters and the construction of 7 single family residences as per the current land use plan and zoning designation for the project site. Building mass and design for residential structures is unknown; however, the residential homes are assumed to have a scale and mass similar to the larger homes in the project vicinity with small lots. As a component of Alternative 8, 13 units would be designated as market rate units, 2 units would be designated as affordable or moderate income units, 1 unit would be designated as a low-income unit, and 1 unit would be designated as a very low-income unit, per Monterey County's Inclusionary Housing Ordinance.

Summary
Alternative 8 would lessen the overall impacts of the development by reducing the area of development and reducing the residential units from 46 units to 17 units, of which 7 units would be allowed under the existing land use plan. Presumably, Alternative 8 would avoid the proposed project’s significant unavoidable impact upon a scenic resource. While on a smaller scale, the objectives of the proposed project would be met. Alternative 8 would rehabilitate and preserve a historic resource, establish a high quality residential community to house future residents of the County, provide market rate, affordable, and workforce housing stock to the Monterey Peninsula, and reuse vacated buildings on a site with infill development.

Source: RECIRCULATED DRAFT ENVIRONMENTAL IMPACT REPORT FOR THE VILLAS DE CARMELO PROJECT
CARMEL, CALIFORNIA
August 2010



BOARD OF SUPERVISORS
Fernando Armenta 1st District
Louis R. Calcagno 2nd District
Simón Salinas 3rd District
Jane Parker District 4th District (Chair)
Dave Potter 5th District (Vice-Chair)


DRAFT ACTION MINUTES
MONTEREY COUNTY BOARD OF SUPERVISORS
MONTEREY COUNTY WATER RESOURCES AGENCY
TUESDAY, NOVEMBER 15, 2011


ROLL CALL
Present: Supervisors Parker (Chair), Armenta, Calcagno, Salinas and Potter.

SCHEDULED MATTERS
S-5 Public Hearing (continued from October 11, 2011) to consider:

Resolution No. 11-371
a. Disapproval of proposed amendments to the Carmel Area Land Use Plan and Coastal Implementation Plan (Chapter 20.146.120-- Land Use and Development Standards) to establish a High Density Residential (HDR) land use designation and HDR zoning district, and to change the existing designation and zoning on a 3.68 acre site from MDR/2 (Medium Density Residential/2 units per acre) to HDR/12.5 (High Density Residential/12.5 units per acre); and

b. Denial of the application. (PLN070497 - Rigoulette [Villas de Carmelo], 24945 Valley Way, Carmel, Carmel Area Land Use Plan)

Public comment: Mark Bain; Amy White; Angus Jeffers; Molly Erickson; Hans Jongens.

Two corrections presented by staff to the Draft Resolution, changes include: on page 3 at Evidence G correction to the 6th line down correcting date of continued hearing to November 15, 2011 and on page 6 of under Decision A third line down removed recommend certification by the California Coastal Commission.
Motion by Supervisor Potter, seconded by Supervisor Armenta with corrections as presented by staff. ALL AYES


MLS Listings
Property Detail

0 24945 VALLEY WY, Carmel, CA 93923
Offered at: $6,500,000 — Active

Built as a metabolic clinic this stately Mediterranean offers many possibilities. The 22,000 sq. ft. Spanish style main building and 2 auxiliary buildings are on 3.68 acres. With abundant water, the property is perfect for many users; a medical clinic, a health club, a care facility or even a family. This beautiful property and dramatic history structures offer...potential galore in Carmel.

MLS: 81202071
Type: Detached Single Family
Bedrooms: 30
Bathrooms: 21 Full,1 Partial
Interior: 23,368
Lot Size: 160431
Garage: No Garage/Parking
Year Built/Age: 1930

Tim Allen Properties
Coldwell Banker Previews International


Provided By: Tim Allen, Coldwell Banker DMR-Junipero
Telephone: 831-214-1990
Email: tim@timallenproperties.com

Property Detail
MLS#: 81202071
$6,500,000
24945 VALLEY Way
Carmel, CA 93923
Beds: 30
Baths: 22
Square Feet: 23,368
Property Type: Residential Single Family
Status: Active

Remarks
Built as a metabolic clinic this stately Mediterranean offers many possibilities. The 22,000 sq. ft. Spanish style main building and 2 auxiliary buildings are on 3.68 acres. With abundant water, the property is perfect for many users; a medical clinic, a health club, a care facility or even a family. This beautiful property and dramatic history structures offer...potential galore in Carmel.

Area: Carmel Woods
Cooling: No Air Conditioning
Fireplace: Wood-burning
Heating: None
Levels: 02 Story
Lot Size: 160,431 sq.ft.
Parking: No Parking
Roof: Tile

Saturday, January 21, 2012

MUNICIPAL ELECTION 2012: Editorials

ABSTRACT: Regarding the upcoming Carmel-by-the-Sea Municipal Election on April 10, 2012 for mayor and two city council member positions, links to Editorials are presented from the most recent editorials to the earliest editorials.

EDITORIALS

The Monterey County Herald, 03/30/2012 

"In addition to endorsing Burnett for mayor, we urge Carmel voters to send incumbent Ken Talmage back to the council for another term and to elect relative newcomer Leverone."


But Carmel is lucky to have Rich Pepe in the mix.
By Staff Thursday, March 15, 2012

“...letters...basically devoid of content about the city’s issues…But because of several letters we didn’t print, we’re afraid it could be because some people can’t wait to start slinging mud at Pepe for having the audacity to challenge Burnett.”

“We received two letters that accused Pepe of various nefarious deeds and character flaws. You might even say the letters amounted to character assassination. And when we asked the letter-writers to substantiate their claims — we don’t prints nasty criticisms without something to back them up — they both backed down
.”
Editorial: The nastiness begins, The Carmel Pine Cone, February 10, 2012

Editorial: An interesting election, The Carmel Pine Cone, January 20, 2012

Editorial: Too much can be too much, The Carmel Pine Cone, January 13, 2012

Friday, January 20, 2012

CITY COUNCIL MEMBER JASON BURNETT: Candidate for Mayor 2012

ABSTRACT: City Council Member Jason Burnett, elected April 2010, filed preliminary documents October 21, 2011 with City Hall regarding his intention to campaign for Mayor and launched his Burnett for Mayor 2012 campaign website stating “I am Jason Burnett, and I am running for Mayor of Carmel-by-the-Sea to build on the progress we have made by working together for the community we love.” Burnett’s campaign website features Home (facebook, Updates from Jason and Sigh up for updates), About Jason, Issues (Village Character, Natural Beauty, Talent, Energy, and Creativity, Fiscal Responsibility, Working Together and Tough Choices), News, Get Involved (Volunteer, Endorse, Contribute, Contact) and DONATE sections. Quotes from Burnett and About Jason and Issues highlights and Contact information are presented.

“During the past two years as your council member, I have delivered on my promise of a more fiscally responsible, transparent, and accountable government. We have a City Hall we can be proud of.”

“As your Mayor, I will (1) protect our village’s character and natural beauty, (2) promote the talent, energy and creativity that make our community and our economy vibrant, (3) continue to be fiscally responsible, (4) tackle the tough issues in an open, honest manner, and (5) respect all points of view
.”
Jason Burnett, 2012

About Jason
I was born and raised in the Carmel area and live here with my wife, Melissa, and our infant son, Sebastian.”

Issues
Village Character
We must ensure the Planning Department is fully staffed and has the resources to both process applications in a timely manner and proactively plan for our future.
We will work to make sure rules are clear and understood by both residents and businesses and are applied evenly.

Natural Beauty
Many people choose to visit or live in Carmel-by-the-Sea because of the natural beauty a village in the forest by the sea. Protecting and enhancing our beach and our parks is good for business, is good for the environment, and is good for Carmel.
We must follow our own Shoreline Management Plan including adequate resources for sand replenishment and redistribution.

Talent, Energy, and Creativity
We will establish City Council criteria for the types of people the full Council wants on boards and commissions and we will open up the process for applying for those positions. We will establish ad-hoc groups to help the community grapple with particularly challenging problems.

Fiscal Responsibility
Carmel-by-the-Sea’s budget is tight and we will have to make tough choices about where to cut and how to increase revenue. I’ve demonstrated fiscal discipline in changes I advocated in the 2010-2011 and 2011-2012 budgets by reducing the draw from reserves relative to the staff drafts.
We have and will pursue shared services with neighboring cities and agencies to continue to provide high-quality services at lowest possible cost.
Past budgets have not fully funded the CalPERS retirement obligation. The unfunded liability has grown over the years to $35 million without adequate scrutiny in part because it was left “off budget.” I am committed to fully funding the annual obligation and sticking to a long-term plan for paying down the existing liability.

Working Together
As a City Council member, I have listened to and respected all points of view and worked to find consensus with my colleagues where possible.
I will create an open process for any member of the City Council or members of the public to place an item on the agenda.
We will hold workshops and special City Council meetings to work through longer-term issues.
I will continue to host monthly town hall meetings co-hosted with any members of the City Council who would like to join.

Tough Choices
We will advance Carmel’s interests in securing a portfolio of water supply sources to meet the water shortfall and provide water for appropriate infill development.

Contact If you have anything else you'd like to talk about, please send me an email by clicking below or simply call me at home: 624.3252.

ADDENDUM:
Burnett Jason Statement of Economic Interests 2012
CALIFORNIA FORM 700
STATEMENT OF ECONOMIC INTERESTS (Received January 2012)
Burnett Jason Kestrel

Thursday, January 19, 2012

‘MINUTES’ for Six Noteworthy 10 January 2012 City Council Agenda Items

“MINUTES”
REGULAR CITY COUNCIL MEETING
CITY OF CARMEL-BY-THE-SEA
Tuesday, January 10, 2012


Archived Video Streaming

City Hall
East side of Monte Verde Street between Ocean and Seventh Avenues

II. Roll Call

PRESENT: Council Members Burnett, Sharp, Talmage, and Mayor McCloud

ABSENT: Council Member Hazdovac

STAFF PRESENT (partial list): Jason Stilwell, City Administrator
Molly Laughlin, Deputy City Clerk
Don Freeman, City Attorney
Andrew Miller, Monterey Fire Chief

V. Announcements from Closed Session, from City Council Members and the City Administrator.

B. Announcements from City Council members (Council members may ask a question for clarification, make a brief announcement or report on his or her activities).

1. Receive Mayor’s Annual Report

Mayor McCloud did not present the Mayor’s Annual Report; the City said that the “2012 Annual Report has not yet been drafted.”

C. Announcements from City Administrator.

1. Present FY 2010-11 Draft Audited Financial Statements by Ralph Marcello, Marcello & Company CPAs.

Ralph Marcello presented a summary of the FY 2010-11 Draft Audited Financial Statements, including the City reported a loss of $340,000 (compared to a loss of $740,000 in FY 2009/10), $700,000 from State grants, total revenue increase of 3% from previous year and general revenue (discretionary) increase of 1% over the prior year. The major topic for cities is to get out of defined benefit pension plan and switch to a defined contribution plan. The City of Carmel-by-the-Sea provides salaries and benefits not available in the private sector today and therefore the City has the upper hand in union negotiations. Cities may be able to borrow money to pay off their pension obligations, but cities do not have the financial resources to make the debt service payments. The auditor’s opinion was “unqualified,” the highest rating opinion. The City will have to report its unfunded liability at a future date per GASB (Governmental Accounting Standards Board).

3. Fire Services contract update.

City Administrator Stilwell presented the Fire Services contract update. Stilwell announced the retirement of Carmel Fire Fighter Mitch Kastros and stated that Monterey Fire Captain Lou Valdez will move in to fill the vacancy. He announced two transitions beginning January 1, 2012; one transition of the Carmel Fire Department to Staff of the Monterey Fire Department and the other transition of the Carmel Regional Fire and Ambulance (CRFA) to the City of Carmel.

X. Resolutions

A. Consideration of a Resolution entering into a Joint Powers Agreement (JPA) for the purposes of water governance.

City Administrator Stilwell presented the staff report. The Mayors of the six Peninsula Cities of Carmel-by-the-Sea, Del Rey Oaks, Monterey, Pacific Grove, Sand City and Seaside decided to form the Monterey Peninsula Regional Water Authority, a Joint Powers Authority, for the purpose of developing a timely regional water project and/or water supply alternative projects. The City Councils of the respective cities will consider the JPA on their respective agendas in January 2012.

City Attorney Don Freeman, city attorney for the City of Carmel-by-the-Sea and the City of Seaside, stated that the document was prepared by the law firm BROWNSTEIN/HYATT/FARBER/SCHRECK of Santa Barbara and attorney Dan Archer, KENNEDY, ARCHER & HARRAY, reviewed the document for the City of Carmel-by-the-Sea.

Mayor McCloud stated that the JPA was decided upon mainly so that the mayors can speak with “one voice” concerning governance. The Mayors briefed Supervisors Dave Potter and Simon Salinas, Cal-Am President, Water District General Manager, Marina Coast General Manager, Monterey Regional Water Pollution Control Agency (MRWPCA) and Waste Management District. The Mayors agreed that the JPA documents preparation (legal costs) was not to exceed $15,000, funded by the six cities, and the JPA is not formed until all six cities adopt the JPA.

Council Member Burnett expressed his concerns about the ratepayers in the unincorporated areas. He stated the focus should be on replacement projects and the inclusion of the County for discussion purposes.

Mayor McCloud opened the meeting to public comment.

Dale Hekhuis expressed support for a JPA, but expressed serious concerns about JPA powers, membership, expertise, budget and the need for requirements for cost controls. He said the JPA was too generic and bureaucratic and recommended the cities start over and focus on cost control, efficiency and project focus.

Amy White, LandWatch Executive Director, expressed concerns about the lack of representation for the unincorporated areas, viable projects and lack of public participation in developing JPA.

Roger Dolan, representing Carmel Valley Association, endorsed the formation of the JPA but advocated for the inclusion of the Water Management District.

Rich Pepe advocated action on the JPA

Monte Miller asked whether the JPA could be modified to include the Water Management District.

Keith Israel, General Manager, Monterey Regional Water Pollution Control Agency (MRWPCA, a JPA) recommended appropriate representation for the unincorporated areas, a technical advisory committee and utilization of staffs of existing organizations to speed implementation and keep costs low.

Libby Downey, Board Member, MRWPCA, advocated for representatives with expertise, process openness and inclusion of Water Management District. She recommended continuance of agenda item.

Safwat Malek advocated for action because “time is of the essence.”

Roberta Miller expressed concerns about unintended consequences of JPA, including costs, and recommended continuance of agenda item.

Mayor McCloud closed the meeting to public comment.

City Attorney Don Freeman stated that it would be difficult to modify JPA at meeting.

Council Member Talmage said that the City either must learn to live within its means, which he prophesized would mean reduced services, or the City must find new revenue sources to increase revenue in order to accomplish needed projects, such as the Scenic Road/Santa Lucia Av. restroom facility. He recommended Council approve the Resolution and identify list of side issues, including identify alternative projects, include unincorporated areas, technical advisory committee, utilize existing staff and involve Water Management District, for the Mayor to discuss with other Mayors for action.

Council Member Burnett recommended giving entities an opportunity to participate.

Council Member TALMAGE moved to approve a Resolution entering into a Joint Powers Agreement (JPA) for the purposes of water governance and authorize the Mayors to execute the JPA and authorize the Mayor to discuss side issues, including identify alternative projects, inclusion of unincorporated areas, technical advisory committee, utilize existing staff and Water Management District involvement, for action, seconded by Council Member BURNETT, and passed by the following roll call vote:

AYES: COUNCIL MEMBERS: BURNETT; SHARP; TALMAGE & McCLOUD
NOES: COUNCIL MEMBERS: NONE
ABSENT: COUNCIL MEMBERS: HAZDOVAC
ABSTAIN: COUNCIL MEMBERS: NONE

XI. Orders of Council

A. Receive report on the implementation plan for recommendations of the CalPERS Committee.

City Administrator Stilwell presented a Power Point Presentation.

Committee Recommendation #1: Pay the Side Fund Debt

Short-term
• One of several liabilities of the City that is unfunded or underfunded
• Prioritization of the liabilities
• Conduct a reserve analysis
• Spend available reserves in priority liabilities
-Recommend as component of budget process

Long-term
• Identify source of repayment
-Future revenue growth
-A new revenue source
-Include as long-term expenditure component in budget

• Debt analysis
-Impact of Pension Obligation Bond (POB) in City’s debt structure
-Analyze risk
-Engage financial advisor and underwriting

Recommended Actions for paying down the side fund:
• Engage financial advisor to prepare POB analysis

As part of the budget process:
• Complete reserve analysis
• Prioritize liabilities
• Indentify revenue sources available for liabilities
• Appropriate available one-time reserve balances

Determine Valuation

Committee Recommendation #2:pass a non-binding resolution to terminate the CalPERS pension plans in order to obtain estimates of the termination unfunded liabilities and to make it possible to subsequently terminate the plans if this appears to be desirable at that time.”

• Termination is expensive and infeasible
• Valuation estimate is important
• CalPERS is required to complete the liability estimate as part of resolution to terminate
• City can complete actuarial analysis based on the CalPERS annual valuation estimate
• Both are estimates

Recommended Actions for adopting a resolution to terminate to determine valuation estimate:

• Do not adopt Resolution to terminate
• Develop a forecast estimate of the City’s pension liability

Committee Recommendation #3: The Side Fund Debts and the Termination Unfunded Liabilities represent costs that will have to be paid either sooner (via termination and/or payment of the Side Fund Debt) or later, with pension contributions that would be greater than if those liabilities did not exist. In order that the City’s taxpayers and employees are fully informed about these obligations, the Committee recommends that the latest estimates of their magnitudes be included on the City’s Financial Reports, either in footnotes or comments.”

Committee Recommendation # 4: “while the City chooses to remain within the CalPERS pension system it negotiate with its unions and prospective employees to provide substantially lower defined benefits. This should be accomplished by adopting tiers with less generous terms and basing benefits on highest three-year average salaries.”

Lower Benefits
• City Council and labor organizations have approved lower second tier retirement benefits
-These second tier include lower defined benefits based on three-year average salary.

• CalPERS is developing valuations and legislative documents for City’s change
-The estimated timeframe to complete the CalPERS requirements to amend the contract is approximately 90 days including the actions required by the City.

• Other efforts require change in legislation at the State level and negotiation with the City’s remaining units.

Recommended Actions for adopting a lower benefits:
• Proceed with CalPERS contract change
• Continue negotiating with City’s labor organizations

SUMMARY: Recommendations #3 and # 4 are underway; Recommendation # 1 Paying down side fund debt requires policy direction from Council and requires policy direction for determination of valuation.

On Recommendation 1: Pay the Side Fund Debt

Council Member Burnett identified hybrid payment method to pay the Side Fund Debt involving reserve funds, pension obligation bond and revenue source.

Mayor McCloud opened the meeting to public comment.

Monte Miller advocated for increased revenues.

Barbara Livingston advocated for increased fees to hotel taxes, for example.

Carrie Theis, Hofsas House, stated that “things are improving,” but she would have difficulty explaining to guests that increase in rates are due to City’s funding city employees’ retirements.

Mayor McCloud closed the meeting to public comment.

Council Member Burnett stated that the Side Fund Debt interest rate is 7.75% and advocated for pursuing pension obligation bonds.

Council Member Talmage advocated for a “forward looking financial model.” for the next ten years prior to using not more than $2 million in reserve funds towards reducing Side Fund Debt, bond counsels and option alternatives to fund services “gap.”

Council Member Burnett recommended determining valuation by hiring an actuarial, not CalPERS termination process.

B. Approve deaccession of certain artwork.

Janet Bombard, Library Director presented the presentation.

Deaccessioning is defined as the formal process of removal of an object from a collection. The policy defines the scope of the collection parameters as follows:

• Work by artists who have lived, worked, or taught in Carmel, or who studied or belonged to regional art associations, such as the Carmel Art Association.
• Art of or about Carmel localities.
• Art pertaining to Carmel history.
• Art that can be safely, effectively, and appropriately cared for by City staff.
(concerns include stability, size, storage ramifications and possibility for public display).
• Contemporary art by established artists with subject matter, such as seascapes, that relate to the history or geography of Carmel.

The six paintings do not fit the collection parameters outlined above, but meet three of the 12 criteria listed in the Deaccession Policy:

• Retention is inconsistent with the established Scope of Collection.
• It cannot be adequately stored or cared for.
• The artwork will never, in all likelihood, be placed on display because of size, weight or lack of a suitable site.

Bombard reviewed the artworks; all artworks are large, Waisler (Los Angeles artist) artworks average 5.5’ high x 10’ wide and Rudolf Haegele (deceased German artist) artworks average 6’ high x 3’ wide.

Artist/Designer: Lee Waisler
Title/Description: "Passage" (Part One)
Date: 1993
Medium: Acrylic Sand Glass, Walnut Shell, & White Oak Wood on Canvas
Dimensions: 65" high by 101" wide

Artist/Designer: Lee Waisler
Title/Description: "Passage" (Part Two)
Date: 1993
Medium: Acrylic Sand Glass, Walnut Shell, & White Oak Wood on Canvas
Dimensions: 59" high by 125" wide

Artist/Designer: Lee Waisler
Title/Description: "Red Dutch House"
Date: 1992
Medium: Acrylic Sand Glass on Canvas
Dimensions: 66" high by 96" wide

Artist/Designer: Rudolf Haegele
Title/Description: "Dipped in Red"
Date: 1993
Medium: MT/PA
Dimensions: 74.25" high by 34.25" wide

Artist/Designer: Rudolf Haegele
Title/Description: "Static Interference"
Date: 1993
Medium: MT/PA
Dimensions: 74.25" high by 34.25" wide

Artist/Designer: Rudolf Haegele
Title/Description: "Island"
Date: 1993
Medium: MT/PA
Dimensions: 74.25" high by 34.25" wide

In response to Council Member Talmage’s query, Janet Bombard said the proceeds will be placed in a deposit account for the care and maintenance of existing City art. Consultant Sheryl Nonnenberg has made a list of auction houses to approach, including Clars and Michaan’s Auctions, as recommendations.

City Administrator Stilwell stated that the donor of the aforementioned artworks donated the artworks with the understanding that the artworks would be deaccessioned.

Mayor McCloud opened the meeting to public comment.

Barbara Livingston asked what the expected amount the sold artworks would bring and stated the Promenade at Sunset Center could be considered for the exhibition of these large artworks.

Mayor McCloud stated estimated proceeds in the “six figures.”

Paul Duncan advocated for the selling of City artworks in order to meet the City’s unfunded liabilities.

Janet Bombard stated that there is a difference between insurance valuations and auction values.

Mayor McCloud closed the meeting to public comment.

City Administrator Stilwell estimated that approximately 10% of total City artworks might meet criteria for deaccession.

Council Member Burnett requested a future city council agenda item for a discussion of the creation of a fixed term citizen committee to assist in advising for deaccession prior to the next round of deaccession.

Mayor McCloud stated that the City has had three different groups of people and it did not work.

Council Member SHARP moved to approve deaccession of six artworks, seconded by Mayor McCLOUD, and passed by the following roll call vote:

AYES: COUNCIL MEMBERS: BURNETT; SHARP; TALMAGE & McCLOUD
NOES: COUNCIL MEMBERS: NONE
ABSENT: COUNCIL MEMBERS: HAZDOVAC
ABSTAIN: COUNCIL MEMBERS: NONE

Monday, January 16, 2012

An Open Letter to Jason Burnett, City Council Member

Your position on Flanders Mansion articulated in The Carmel Pine Cone (6 January 2012) (see below) is consistent with your comments at your Town Hall meeting on the morning of Monday, 9 January 2012 and inconsistent with your Letter to the Editor (13 January 2012) and your website posting My Position Regarding Flanders by Jason Burnett on January 13, 2012 - 12:04pm. It appears then that you changed your mind between Monday morning (Town Hall Meeting) and Monday afternoon (Council Closed Session), five days after the Court published its opinion. The public deserves to know what transpired to make you change your position and make the motion to have the Appellate Court reconsider their decision. In addition, what is your position if the City loses the "reconsideration?"

Appeals court clears way for Flanders sale
- But Burnett says it should be leased instead By MARY SCHLEY
Published: January 6, 2012


But councilman Jason Burnett, the frontrunner to be Carmel’s next mayor, said even a relatively minor update to the EIR will be too time consuming and costly, with no assured outcome. Despite years of unanimous decisions by the city council to sell the historic home and a 2009 public vote overwhelmingly in favor of the sale, he said the ruling by the Sixth Appellate District provides an opportunity for the city to abandon its plan to sell the mansion and put it up for longterm lease as a single-family home instead.

“It’s disappointing that we can’t find a resolution to this controversy,” Burnett said. “I think most people are hoping we can put this behind us, and the court decision underscores the logic in approaching that by turning it into single-family residence by some other means.”

Leasing it to someone who would restore and maintain it, whether a family or a curator, could probably “be accomplished without any legal fight,” he said.


Billig and her attorney, Susan Brandt-Hawley, took the appellate court’s decision as a triumph.

“The foundation is pleased and gratified that Judge Kingsley’s ruling was upheld,” Billig said in a statement. “This is a good time for all of us to take another look at Flanders and the park as a whole and to think creatively about working together for a lasting solution for Flanders Mansion and the people of Carmel-by-the-Sea.”

Burnett said he feels similarly, regarding the mansion’s fate.

“The problem is that this could go on forever: You fix one problem and then come back and find some other problem,” he said.

Amending the EIR would be costly and would require circulating it for additional comments that could raise additional environmental concerns. The economic feasibility study would also have to be revised, “and we don’t know what the results would be,” he said.

Holding another public vote would be expensive, too.

“I see the main objective as getting out from under this asset that is costing taxpayers money rather than earning something for taxpayers,” he said. “During a longterm lease, for example, we could probably get close to the amount of money as we would in a sale, but that would depend on what the market will bear.”

He speculated someone would be interested in taking on the costs of restoring the historic home in exchange for the enjoyment of living in it for many years.


CITY COUNCIL MEMBER JASON BURNETT'S RESPONSE:

The position I had as a candidate for City Council and as a member of the City Council has been that my job is to work to implement the will of the people as expressed in the Measure I vote. I agree with you that this was not clear in the first Pine Cone article but I made this point at my Town Hall meeting and later in my letter to the editor.

When I had my Town Hall meeting I said that I did not yet have the benefit of the legal analysis of our lawyers and therefore my thinking was preliminary (I always try to make this point because I try to keep an open mind until I have heard all the facts and all the points of view). While I cannot get into the details of the Closed Session meeting (legally we are not permitted to do so), I can say that we talked with our lawyers and I reached the conclusion that reconsideration is the shortest path forward that is consistent with my long-held position that I should work to implement the outcome of Measure I. That is the reason I made the motion.

I don't want to speculate at this point about what might happen if the City were to lose the reconsideration.

Does this make sense?



CONSTITUENT'S REPLY:

No, the cognitive dissonance is too great for it to make any sense.

As to your statement, “I don't want to speculate at this point about what might happen if the City were to lose the reconsideration:” The overarching problem with our city government’s process of selling Flanders Mansion has been Mayor Sue McCloud’s and City Councils’ failure to satisfactorily think through the consequences of their actions. As a result, to date, $1,047,319.39 in taxpayer monies has been expended needlessly and unwisely.

P.S. If the mayor and city council had the vision in 2000 to sign a lease with the Flanders Foundation, the Flanders Mansion would be rehabilitated today and the National Register of Historic Places building would be an asset to Mission Trail Nature Preserve and enhance the experience of public park users.

Friday, January 13, 2012

City Council Member Jason Burnett: Positions on Flanders Mansion

UPDATE:
My Position Regarding Flanders
by Jason Burnett on January 13, 2012 - 12:04pm

Carmel-by-the-Sea
COMMUNITY CONVERSATION

ABSTRACT: In the 13 January 2012 edition of The Carmel Pine Cone, The Carmel Pine Cone published City Council Member Jason Burnett’s position on Flanders; excerpt highlights and a link to the Letter to the Editor are presented. Contradicting Burnett's Letter to the Editor, an email from City Council Member Jason Burnett to a constituent, sent 4 January 2012, is reproduced (relevant sections), describing his “position on Flanders.”

LETTER TO THE EDITOR EXCERPT HIGHLIGHTS:
I would like to clarify my position regarding Flanders Mansion. I have consistently stated that the best option is a sale, in line with the public vote.”

I hope this is successful. If not, I intend to pursue options for addressing the court decision in a manner that allows for a sale.”

Burnett’s position on Flanders, Jason K. Burnett, Carmel, Letters to the Editor, The Carmel Pine Cone, January 13, 2012, 24A


CITY COUNCIL MEMBER JASON BURNETT'S EMAIL TO A CONSTITUENT:
Sent Wed 1/4/2012

You asked for background information on my August 2010 agenda request to "Discuss and set minimum requirements before the Council would actively consider an offer to lease, purchase, curatorship, or enter into a life estate agreement for Flanders Mansion." The email below may be helpful background. I thought (and continue to think) that the best option may very well be to find someone willing to lease the land and/or the building or to engage in some other arrangement short of a sale. I talked with a few people and looked into what other jurisdictions do to address similar situations (why not learn from others?). This could stop the hemorrhaging of legal fees and resolve a controversy that has gone on for far too long.

Suffice it to say, despite repeated efforts I was unable to convince the Mayor to place the item on the agenda and, at this point, believe the best course of action is to wait until May when we will have a new City Council composition and a new Mayor.

From: Jason Burnett
Subject: Fwd: Flanders
Date: September 9, 2010 11:19:35 AM PDT
To: Rich Guillen

As we discussed.
-----------------------
Jason K. Burnett
831.238.0009 (cell)
jason.burnett@gmail.com



Begin forwarded message:


From: Jason Burnett
Date: June 2, 2010 9:33:13 PM PDT
To: Karen Sharp , Kenneth Talmage , Paula Hazdovac , Sue McCloud
Subject: Flanders

FYI only. Please see http://www.dnr.state.md.us/land/rcs/index.asp for a sense of what another jurisdiction (State of Maryland) has done with old buildings on their public land. Note the several current offerings contain RFPs that might be of assistance as templates or at least to get ideas if we pursue this route.

See:
1. http://www.dnr.state.md.us/land/rcs/pdfs/Reserve%20House%20RFP.pdf
2. http://www.dnr.state.md.us/land/rcs/pdfs/grovefarm_march09.pdf
3. http://www.dnr.state.md.us/land/rcs/pdfs/Doncaster%20RFP.pdf

Thanks,
Jason
----------------------

Wednesday, January 11, 2012

COMMENTARY City Council Member Jason Burnett: An Opportunistic, Expedient Politician

During the Municipal Election campaign of 2010, an Editorial in the Carmel Pine Cone stated, as follows:

Burnett handled the line of questioning smoothly and promised that if he is elected to the city council, he will serve all four years of his term. In other words, he will not run for mayor in 2012, or enter the Democratic Party primary for U.S. Congress, or anything else.
(Source: Editorial: Still mad about 2002? The Carmel Pine Cone, Published: March 12, 2010)

Two years later, in 2012, an article in Monterey County Weekly stated, as follows:

Burnett, who announced his plans to run for mayor in October, says he committed during the 2010 campaign to serve Carmel for a full term, though not necessarily without running for higher office within city government.

(Source: News Blog
Carmel Mayoral Race Heats Up, And Levels Out
By Sara.Rubin December 13, 2011
)

In 2010, with regard to the Flanders Mansion Property, the Carmel Pine Cone quoted Jason Burnett as being in favor of a “sale” of the Flanders Mansion, as follows:

Jason Burnett, who hopes to win a council seat in the April 13 election, said he hasn’t developed an opinion about what should be done in the wake of Kingsley’s ruling.

“I haven’t yet had a chance to talk with the city attorney, so I don’t fully know what the options are, but I certainly hope we can find an option that minimizes the risk of further litigation at taxpayers’ expense, because I think people are tired of continuing to pay so many lawyers so much money,” he said. “I think there are several options for moving forward with a sale.”


(Source: City to appeal Flanders decision
By MARY BROWNFIELD, The Carmel Pine Cone, March 26, 2010
)

Then, in late December 2011, The Carmel Pine Cone reported that City Council Member Jason Burnett was in favor of “a long-term lease as a single-family home” for the Flanders Mansion to avoid the time and cost of updating the EIR, recirculation of EIR for public comments, another City Council vote and public vote, as follows:

But councilman Jason Burnett, the frontrunner to be Carmel’s next mayor, said even a relatively minor update to the EIR will be too time consuming and costly, with no assured outcome. Despite years of unanimous decisions by the city council to sell the historic home and a 2009 public vote overwhelmingly in favor of the sale, he said the ruling by the Sixth Appellate District provides an opportunity for the city to abandon its plan to sell the mansion and put it up for long-term lease as a single-family home instead.

“It’s disappointing that we can’t find a resolution to this controversy,” Burnett said. “I think most people are hoping we can put this behind us, and the court decision underscores the logic in approaching that by turning it into single-family residence by some other means.”

“The problem is that this could go on forever: You fix one problem and then come back and find some other problem,” he said.

Amending the EIR would be costly and would require circulating it for additional comments that could raise additional environmental concerns. The economic feasibility study would also have to be revised, “and we don’t know what the results would be,” he said.

Holding another public vote would be expensive, too.

“I see the main objective as getting out from under this asset that is costing taxpayers money rather than earning something for taxpayers,” he said. “During a longterm lease, for example, we could probably get close to the amount of money as we would in a sale, but that would depend on what the market will bear.”


(Source: Appeals court clears way for Flanders sale
- But Burnett says it should be leased instead
By MARY SCHLEY, The Carmel Pine Cone, January 6, 2012
)

And most recently, during a City Council Closed Session on Monday, 9 January 2012, regarding Existing Litigation -- Government Code Section 54956.9(a) - Conference with legal counsel regarding The Flanders Foundation, a California Nonprofit Public Benefit Corporation, Petitioner v. City of Carmel-by-the-Sea, Respondents – Monterey County Superior Court Case No. M99437/State of California Court of Appeals, Sixth District, Civil Case No. H035818, City Council Member Jason Burnett made a motion to authorize the staff to file for a rehearing/clarification of the appellate court’s decision, seconded by Council Member Ken Talmage, and passed unanimously, according to City Attorney Don Freeman.

In closing, in 2010, Jason Burnett wrote an op-ed about Hewlett-Packard and the HP Way, including the statement, as follows: “...in 1999, the company was still hewing closely to the guiding vision that our grandfathers laid out, which put a premium on integrity, respect for employees and a focus on how the company's work would benefit the broader community. It was known simply as the HP Way.” Unfortunately, it appears that Jason Burnett, grandson of David Packard, co-founder of Hewlett-Packard (1939), does not have the same ethic of integrity. Public office is indeed a public trust; a person lacking integrity should therefore not be entrusted by the people to serve in public office, as a public servant.

Published & Written by
L. A. Paterson

Sunday, January 08, 2012

Six Noteworthy 10 January 2012 City Council Agenda Items

ABSTRACT: Six Noteworthy 10 January 2012 City Council Agenda Items, namely Receive Mayor’s Annual Report, FY 2010-11 Draft Audited Financial Statements by Ralph Marcello, Marcello & Company CPAs, Fire Services contract update, a Resolution entering into a Joint Powers Agreement (JPA) for the purposes of water governance, Receive report on the implementation plan for recommendations of the CalPERS Committee and Approve deaccession of certain artwork, are presented. Agenda Item Summaries are reproduced and the FY 2010-11 Draft Audited Financial Statements, Joint Powers Agreement (JPA) for the purposes of water governance and Staff Reports, et cetera, for report on the implementation plan for recommendations of the CalPERS Committee and Approve deaccession of certain artwork are embedded.

CITY OF CARMEL-BY-THE-SEA
CITY COUNCIL AGENDA PACKET
Regular Meeting
Tuesday, January 10, 2011

4:30 p.m., Open Session

Live & Archived Video Streaming

City Hall
East side of Monte Verde Street between Ocean and Seventh Avenues

II. Roll Call

V. Announcements from Closed Session, from City Council Members and the City Administrator.

B. Announcements from City Council members (Council members may ask a question for clarification, make a brief announcement or report on his or her activities).

1. Receive Mayor’s Annual Report

C. Announcements from City Administrator.

1. Present FY 2010-11 Draft Audited Financial Statements by Ralph Marcello, Marcello & Company CPAs.

TO: McCLOUD AND COUNCIL MEMBERS

FROM: JASON STILWELL, CITY ADMINISTRATOR

DATE: JANUARY 10, 2012

SUBJECT: RECEIVE 2011 AUDIT REPORT

Attached are the annual financial reports for year end June 30, 2011 prepared by the City's independent outside auditor. We are pleased to report the independent auditor is able to provide an unqualified opinion that the City's financial records and statements are fairly and appropriately presented, and in accordance with Generally Accepted Accounting Principles (GAAP).

Staff worked closely with the auditor this year to assure he had the information necessary to complete the audit. Finance staff were responsive to the auditor's needs and I appreciate their efforts knowing the work that is required to have the City's financial records in order and available during the crunch of an annual audit. The auditor found a positive cash variance of $126,196 resulting from reconciliation of actual cash balances to the accounting system recorded fund balances. That variance is being analyzed and will be adjusted in the City's accounting system.

Given the budget reductions and staff changes the city needs to ensure that the core administrative functions of personnel and financial management are appropriately staffed and effective. It is important that the City Council and City Administrator determine the appropriate management of the organization. The top priority of the organization, as determined by my assessment of the organization and interview with management, is management and oversight of finance, human resources, information technology, risk management, benefit administration, and related assignments. In this time of budget austerity it is important to be selective in the management positions needed in the organization and assure the positions are the ones that will best enable the City organization to operate effectively so departmental staff can provide excellent service to the public.

Segmentation of responsibilities is important in any organization and especially so in Carmel given the staffing changes and differing role assignments. The City has a strong administrative core of staff in place with highly motivated individuals. They have assumed additional duties as staff turnover and reductions have occurred over the years. There is a need and an opportunity to conduct a complete review of internal controls within the reporting and accounting structure, after the City fills the administrative position. Neither I nor the independent auditor has uncovered any misappropriation of assets or fraudulent financial reporting but we want to prevent the risk of such.

Annual Financial Report FY 2010

FY 2010-11 Draft Audited Financial Statements

3. Fire Services contract update.

X. Resolutions
A. Consideration of a Resolution entering into a Joint Powers Agreement (JPA) for the purposes of water governance.

Description: In light of the possibility that California-American Water Company (CalAm), will be required to cease all but a small amount of diversions from the Carmel River Valley by 2016 and the ongoing issues with the Regional Desalination Project ("Regional Project"), the mayors of the Peninsula Cities (Carmel, Monterey, Pacific Grove, Seaside, Sand City, and Del Rey Oaks) have determined that it is in their best interest to form a Joint Powers Authority to provide a diverse array of options to undertake actions with regard to development of the Regional Project or one or more alternative water supply projects to offset the water supply restrictions. The purpose of the Authority is to provide a public forum for deliberation and participation in the governance of such water supply projects that includes representation directly accountable to the customers served by Cal-Am.

Overall Cost: The Agreement is drafted to provide the revenues necessary for the Authority's operations, but it also includes provisions to appropriately limit the Cities' financial exposure.

Staff Recommendation: Staff recommends approval of the Agreement to advance the City's interest in ensuring that a prudent and cost-efficient water supply project is developed in a timely way to avoid the severe water supply restrictions facing the City.

Important Considerations: If the present impediments to the Regional Project are resolved and it remains a viable water supply solution, the Authority will provide an open and deliberate process for the Cities to express their views and concerns as the Regional Project proceeds. If the Regional Project ceases to be viable, the Authority may provide a means for the Peninsula Cities to pursue development of an alternative replacement water supply project.

Decisions by the Authority's Board of Directors will be made by one director, one vote, unless a weighted vote is requested by a director. In that case, voting will be weighted in proportion to each city's three-year weighted average receipt of water from Cal-Am.

Decision Record: None

Resolution entering into a Joint Powers Agreement for Water Governance January 2012

Staff Report: Joint Powers Agreement (JPA) for the purposes of water governance.

XI. Orders of Council
A. Receive report on the implementation plan for recommendations of the CalPERS Committee.

Description: The CalPERS Pension Committee's final report was presented to the City Council at its November 1, 2011 meeting. The Council directed staff to return with a proposed implementation plan for the four recommendations submitted by the committee. The following report provides additional analysis and outlines the requirements associated with implementing the Committee's recommendations.

Overall Cost: N/ A

Staff Recommendation: Receive the report.

Important Considerations: The implementation of the CalPERS Pension Committee recommendations are progressing. Implementing certain recommendations will require coordination with CalPERS, which is in process. Others require additional policy direction from the City Council, and still others will require negotiations with the City's recognized employee bargaining groups. This agenda item will provide the opportunity for staff to describe the implementation effort and for the City Council to identify additional policy direction.

Decision Record: None

Receive report on the implementation plan for recommendations of the CalPERS January 2012

Staff Report: Receive report on the implementation plan for recommendations of the CalPERS Committee.

B. Approve deaccession of certain artwork.

Description: On June 8, 2010, the Council adopted Resolution 2010-43, which defined the scope of the City's art collection and authorized art consultant Sheryl Nonnenberg to begin a process for deaccessioning pieces of art that do not fit the parameters of the adopted Art Collection Management Policy. On November 1, 2011, the Council approved the City's Deaccession Policy for the Art Collection, which includes a set of criteria for deaccessioning artwork. The first set of items proposed for deaccessioning are three abstract paintings by artist Lee Waisler and three abstract paintings by artist Rudolf Haegele.

Overall Cost:
City Funds: N/A
Grant Funds: N/A

Staff Recommendation: Approve deaccession of the six pieces that meet the criteria.

Important Considerations: The paintings do not fit within the parameters of the City's Art Collection Management Policy: they do not pertain to Carmel's history or geography; neither artist lived, worked, or taught in Carmel; and the artwork is too large to display and is difficult to store. Also, these pieces meet several of the criteria for deaccessioning, as outlined in the Deaccession Policy. Proceeds from the sale will be used in accordance with City policy, to conserve and maintain the City's art collection.

Decision Record: Resolution 2010-43, adopted on June 8, 2010, which defines the art collection and authorized the formulation of a deaccessioning process; and Council's direction provided on November 1, 2011, to approve the deaccessioning policy.

Approve deaccessioning of certain artwork Jan 2012

Staff Report: Approve deaccession of certain artwork

Annual Financial Report FY 2010/11

Annual Financial Report FY 2010

FY 2010-11 Draft Audited Financial Statements

FINANCIAL HIGHLIGHTS
The City's assets exceeded liabilities at June 30, 2011, by $27,918,739. The current year change in net assets was ($339,992).

Of the total net assets, $18,876,010 was invested in capital assets (net of related debt) or had restrictions on their use.

As of June 30, 2011, the City's governmental funds (general fund and special revenue funds) had a combined fund balance of$10,486,101, a decrease of$669k from the previous year. Of the total fund balance, $440k was restricted; $8.4m was committed for capital acquisitions and future expenditures, $68k assigned for improvements to the Forest Theater; and $1.4m was unassigned.

PUBLIC IMPROVEMENT AUTHORITY June 30 2011

PUBLIC IMPROVEMENT AUTHORITY June 30 2011

Friday, January 06, 2012

COMMENTARY Irreplaceable Treasures: Flanders Mansion & Mission Trail Nature Preserve

The Case for the City Negotiating a Long-Term Lease with Flanders Foundation

For too long, our elected and appointed city officials have defined Flanders Mansion as “surplus property,” even a “liability” to the City of Carmel-by-the-Sea. For too long, city officials have not seen it necessary to make Flanders Mansion accessible to the public. And for too long, city officials have defined Flanders Mansion in terms of the financial costs of maintaining Flanders Mansion, rather than understanding its value is as a unique historical, cultural and environmental asset. These aforementioned mindsets have prevented city officials from properly fulfilling their public stewardship responsibilities. Fortunately, with the upcoming 10 April 2012 Municipal Election, Carmel voters will have the opportunity to choose elected leaders who view Flanders Mansion and surrounding Mission Trail Nature Preserve parkland as irreplaceable treasures whose preservation, maintenance and accessibility is in the public interest.

Importantly, the City’s General Plan states: "Culturally significant structures and sites, like architectural resources, are vital to the well-being and survival of Carmel's citizens. An understanding of its history helps define and preserve the unique qualities of Carmel. The knowledge of its cultural heritage can be fostered through awareness of its varied eras, eclectic architecture, parks, seashore and forest setting. Such knowledge will provide assurance that Carmel's sense of place will survive."

Moreover, there is only one organization with a mission and vision solely involving Flanders Mansion, namely the Flanders Foundation. The Flanders Foundation Mission: “To preserve, enhance, and maintain the Flanders mansion property as an historical, cultural, and educational resource for the benefit of residents and visitors to Carmel-by-the-Sea.” And its’ Mission is specifically designed to implement General Plan Policies, as follows:

1. To recognize the unique social, cultural and recreational aspirations and activities which contribute to the vitality of Carmel-by-the-Sea; to provide a range of public and semi-public facilities and programs responsive to those aspirations; to maintain both facilities and programs so as to exemplify the highest standards for the community.

2. Retain and enhance the buildings and open spaces on a voluntary basis that make especially significant contributions to the unique character and identity of the city.

3. Develop a comprehensive approach to the maintenance and preservation of the City's architectural/ cultural/ historic resources promoting voluntary efforts and, if necessary, funding sources from public and private sectors.

4. Promote property owner awareness of Carmel-by-the-Sea's significant buildings, historic traditions, and preservation policies, and foster a wider appreciation of the contributions these buildings make to the city's character.

5. Establish an archival depository for information on Carmel's history, cultural traditions and architectural contributions.


And the Vision Statement of Flanders Foundation:

Our village by the sea and amongst a forest has long been known not only as a cultural colony that promotes the arts ... be it painting, sculpture, crafts, photography, literature, music, dance, drama, or architecture ... but also as a community which respects and enhances the natural environment. This cultural and environmentally conscious colony has added to the inspiration and vitality of the creative spirits who watch over us in this sylvan setting.

Significant architecture is an important reminder of Carmel's developmental history and provides a visual image that identifies the uniqueness of Carmel for residents and visitors alike. The General Plan speaks to this: "Culturally significant structures and sites, like architectural resources, are vital to the well-being and survival of Carmel's citizens. An understanding of its history helps define and preserve the unique qualities of Carmel. The knowledge of its cultural heritage can be fostered through awareness of its varied eras, eclectic architecture, parks, seashore and forest setting. Such knowledge will provide assurance that Carmel's sense of place will survive."

Flanders mansion, a.k.a. Flanders Estate, and a.k.a. "Outlands", was designed by noted San Francisco architect, Henry H. Gutterson, graduate of U.C. Berkeley and L'Ecole des Beaux Arts in Paris. During his career, Gutterson was associated with architects such as Bernard Maybeck, Willis Polk, and Ernest Bourn. In 1924 Gutterson was hired by Paul and Grace Flanders to design their home and gardens as well as to lay out Hatton Fields for development. "Outlands", an English cottage design which is a substyle of the Tudor Revival, was one of the first structures in Carmel of this pictorial style of architecture and is listed on the National Register of historic structures.

Enhancing its uniqueness, Flanders is part of the Mission Trail Nature Preserve and is adjacent to the Lester Rowntree Native Plant Garden. Throughout the history of Carmel there has been, and continues to be, a strong tradition to preserve and enhance the natural environment and open space. The preservation of the Flanders property within the Mission Trail Nature Preserve is essential to the Park's integrity. The association of the Flanders property with the Park and the Arboretum offers a unique opportunity for the study of Carmel's natural history as well as the possibility for the reestablishment of a botanical center.

We must not lose this reminder of Carmel's past developmental and cultural history which speaks to the character of the community. It is this quality of character that prompted past Mayor Gunnar Norberg, at the time Vice Mayor, to launch a campaign and persuade the City to purchase the Flanders Estate in 1972 after Paul Flanders had died. The estate subsequently became the site of the Carmel Art Institute under the tutelage of the renowned artist John Cunningham.

Carmel-by-the-Sea's General Plan speaks to the need for fostering a wider appreciation of the contributions that structures, such as "Outlands" make to the City's character. Through private and public funding, the Flanders Foundation can further this policy by restoring and furnishing the house, by improving the landscape, and by establishing an endowment fund for its maintenance and operation.

In keeping with the scale of the house, its gardens and the neighborhood, the house will maintain the air of a private residence and could provide an ideal setting for such uses as small meetings, lectures, retreats, and musical events. These types of events could foster the promotion of Carmel's historic preservation as well as Carmel's cultural and environmental heritage. The garden will retain its rustic style and provide a charmed setting for small scale activities such as poetry readings or a watercolor class. As an alternative, we are also exploring an artist or naturalist in residence program.

Our Foundation seeks individuals, agencies and organizations willing to participate in the preservation of the historically designated Flanders property, not only for today, but for tomorrow. Future generations of Carmelites surely will appreciate our vision and efforts more than any of us can imagine.


The Flanders Foundation also has a Business Plan for the Flanders Mansion and surrounding Mission Trail Nature Preserve parkland. It is to create a Cultural and Natural History Museum in this Historic National Trust Property, to inform and educate visitors of Carmel's rich cultural heritage as a community and provide a venue for the public to enjoy Carmel's extensive art collection of paintings and the Weston Collection of Photographs.

The Natural History Museum would be an educational venue to provide a greater understanding and appreciation of Carmel's unique natural setting, flora, fauna and geological history.

The Flanders Foundation would like a long term lease on the property similar to what Carmel Heritage enjoys at the First Murphy House.

The Foundation would apply for grants and donations with the City's support, in order to do the rehabilitation necessary to open it for the public's use and enjoyment.

The Foundation has produced a professional Business Plan that demonstrates how a museum can be operated without cost to the City. This has been ignored by the City for 9 years. The City has chosen only to pursue a sale.


Ergo, since the Flanders Foundation is the only organization with a Mission, Vision and Business Plan for the Flanders Mansion and surrounding Mission Trail Nature Preserve parkland, it is the ideal entity to negotiate with the City of Carmel-by-the-Sea for a contract similar to the City’s contract with Sunset Cultural Center, Inc. (SCC). The contract between SCC, Inc. and the City of Carmel-by-the-Sea establishes that “Sunset Center be managed and operated as a place for public, cultural, entertainment and community events so that Sunset Center will serve as an economic and cultural stimulant for the community, the people of Carmel, and its environs.” Similarly, a contract between Flanders Foundation and the City of Carmel-by-the-Sea can establish that Flanders Mansion be managed and operated as a place for public, historic, cultural, educational and community events so that Flanders Mansion can serve as a historic and cultural asset for the community, the people of Carmel and its environs.

Finally, both the Flanders Mansion and the Sunset Center are National Register of Historic Places properties. Both are city-owned assets. The Flanders Foundation and Sunset Cultural Center, Inc. are both non-profit organizations. Both the Flanders Foundation and Sunset Cultural Center, Inc. are dedicated to their respective missions and the community. Therefore, the mayor and city council members would be wise to understand that the City needs to do more to take proper care of City assets it holds in trust for the people. Both the Flanders Mansion and Sunset Center comprise a substantial part of the City’s heritage. As such, the City can establish a standard of stewardship and leadership by making certain both assets receive support and their managing organizations receive financial subsidies necessary to accomplish their respective missions for our community and, most importantly, for present and future generations of residents and visitors to Carmel-by-the-Sea.

Published and Written by
L. A. Paterson