City Government

Tagami in Default on $12 Million City Loan

Published

10 years ago

February 13, 2014

Councilmembers are raising concerns that Phil Tagami’s company Rotunda Partners II has not begun making payments on 20-year, $12 million loan from the city to develop a parking garage, retail space, and temporary parking lot next to the Rotunda building across from Oakland City Hall.

The city has yet to receive the $20,000 a month payments on the loan, which were scheduled to start in November. City staff is also checking whether the project is technically in compliance with the contract.

Speaking at Tuesday’s Community and Economic Development (CED) meeting, Councilmember Lynette McElhaney called for city staff to enforce penalties on Tagami’s company, which has not yet been sent a notice of default for nonpayment.

&amp;amp;amp;amp;lt; p>The informational report presented at the CED meeting said the company is currently technically in default, said McElhaney.

“I would want to see staff put really strong timelines that are transparent and can be monitored with respect to getting people on track and to respond timely,” she said. “ I would also like to see some level of penalty for failure to perform.”

At least one community member is continuing to question whether the original agreement with Tagami’s company was a fair deal for the city.

“This is fraud, this is a gift of public land,” said Oakland resident Gene Hazzard, speaking at Tuesday’s meeting.

Neither Tagami nor a representative of his company came to the meeting to explain why the payments on the loan have not been made.

Councilmembers also raised questions about the city’s deal with Tagami.

“We let that [Rotunda] property go for $297, essentially nothing. What did the city get in exchange?” Asked Councilmember Pat Kernighan. “I think that really is the question. Was that a fair deal or was that not a fair deal: that’s for us the city as a whole to answer. Why was that a good thing to do?”

“My understanding is because we want to stimulate economic development that would not have occurred otherwise,” she added.

Referring to questions raised by Hazzard, Councilmember Desley Brooks said documents related to the Rotunda agreement should be made public.

“If you were concerned about whether or not an evaluation was done and truly whether or not there was a gift of public funds, then we should pull forth those documents,” she said.

“It is disconcerting that it took a resident of the city to raise issues that should have come from somebody in administration, that it took over a year to have these concerns responded to,” Brooks added

“We need to look at our policies and procedures and make sure that when we enforce, we do that on an equal basis because when we don’t, it causes problems with the public’s trust,” she said.

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Oakland Post: Week of April 24 – 30, 2024

The printed Weekly Edition of the Oakland Post: Week of April 24 – 30, 2024

Published

10 hours ago

April 26, 2024

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Alameda County

DA Pamela Price Stands by Mom Who Lost Son to Gun Violence in Oakland

Last week, The Post published a photo showing Alameda County District Attorney Pamela Price with Carol Jones, whose son, Patrick DeMarco Scott, was gunned down by an unknown assailant in 2018.

Published

4 days ago

April 22, 2024

Oakland Post

District Attorney Pamela Price with Carol Jones

Publisher’s note: Last week, The Post published a photo showing Alameda County District Attorney Pamela Price with Carol Jones, whose son, Patrick DeMarco Scott, was gunned down by an unknown assailant in 2018. The photo was too small for readers to see where the women were and what they were doing. Here we show Price and Jones as they complete a walk in memory of Scott. For more information and to contribute, please contact Carol Jones at 510-978-5517 at morefoundation.help@gmail.com. Courtesy photo.

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City Government

Vallejo Welcomes Interim City Manager Beverli Marshall

At Tuesday night’s Council meeting, the Vallejo City Council appointed Beverli Marshall as the interim city manager. Her tenure in the City Manager’s Office began today, Wednesday, April 10. Mayor Robert McConnell praised Marshall’s extensive background, noting her “wide breadth of experience in many areas that will assist the City and its citizens in understanding the complexity of the many issues that must be solved” in Vallejo.

Published

4 days ago

April 22, 2024

Oakland Post

Beverli Marshall began her first day with the City on April 10. ICMA image.

Special to The Post

At Tuesday night’s Council meeting, the Vallejo City Council appointed Beverli Marshall as the interim city manager. Her tenure in the City Manager’s Office began today, Wednesday, April 10.

Mayor Robert McConnell praised Marshall’s extensive background, noting her “wide breadth of experience in many areas that will assist the City and its citizens in understanding the complexity of the many issues that must be solved” in Vallejo.

Current City Manager Michael Malone, whose official departure is slated for April 18, expressed his well wishes. “I wish the City of Vallejo and Interim City Manager Marshall all the best in moving forward on the progress we’ve made to improve service to residents.” Malone expressed his hope that the staff and Council will work closely with ICM Marshall to “ensure success and prosperity for the City.”

According to the Vallejo Sun, Malone stepped into the role of interim city manager in 2021 and became permanent in 2022. Previously, Malone served as the city’s water director and decided to retire from city service e at the end of his contract which is April 18.

“I hope the excellent work of City staff will continue for years to come in Vallejo,” he said. “However, recent developments have led me to this decision to announce my retirement.”

When Malone was appointed, Vallejo was awash in scandals involving the housing division and the police department. A third of the city’s jobs went unfilled during most of his tenure, making for a rocky road for getting things done, the Vallejo Sun reported.

At last night’s council meeting, McConnell explained the selection process, highlighting the council’s confidence in achieving positive outcomes through a collaborative effort, and said this afternoon, “The Council is confident that by working closely together, positive results will be obtained.”

While the search for a permanent city manager is ongoing, an announcement is expected in the coming months.

On behalf of the City Council, Mayor McConnell extended gratitude to the staff, citizen groups, and recruitment firm.

“The Council wishes to thank the staff, the citizens’ group, and the recruitment firm for their diligent work and careful consideration for the selection of what is possibly the most important decision a Council can make on behalf of the betterment of our City,” McConnell said.

The Vallejo Sun contributed to this report.