In Secession Election, Who’ll Show Us the Money?

In Secession Election, Who’ll Show Us the Money? If and when the Local Agency Formation Commission (LAFCO) agrees to put a secession initiative on the ballot in November, the floodgates for financial contributions to Valley city council and mayoral races are certain to bust wide open. LAFCO is scheduled to release its decision on a ballot initiative on secession by late April and, even though names of potential candidates for office have surfaced, subsided and resurfaced over the past few months, the official filing period won’t begin until July 15. It’s expected that there will be hundreds of candidates vying for mayor and the 14 council seats. So, expect a barrage of billboards and political placards by late summer and start making room in the recycling bin for all those pesky mailers. Most analysts agree big contributions to Valley races will come from a small group of individuals but, even then, a huge chunk of that money is likely to be spent on solidifying support for the initiative. Why spend money on a candidate for a new city unless there’s a clear indication voters even want their own city? “Candidates are going to have a lot of trouble getting funding unless polls show that the secession initiative is going to pass,” said Harvey Englander, senior vice president and general manager of the MWW Group. State, not city, law will apply to the likely election. Consequently, financial contributions will not be limited to current Los Angeles city restrictions, which cap contributions at $500 per individual. Some say the unlimited contributions rule is certain to create an uneven playing field, particularly for wealthier candidates and those with ties to special interests or individuals with deep pockets and an interest in shaping a new government. Nonetheless, the Valley is home to several key business leaders with the capital to back either one candidate or a slate of candidates who may suit their vision of a new Valley city. Jacqueline Fox, politics reporter for the Business Journal, polled local political strategists to get a sense of who is likely to be whipping out their checkbooks to further a Valley secession effort. Burt Boeckmann Owner/president, Galpin Motors Inc. A heavy contributor to Valley VOTE; owns the largest Ford dealership in the country and, although he keeps a low public profile on the issue, behind the scenes he’s been a key player in building consensus on secession in the business community and even offers up his company headquarters for Valley VOTE board meetings. Rick Caruso President, Caruso Affiliated Holdings Retail developers will be clamoring for the ear of Valley lawmakers to get their projects off the ground and Caruso certainly has cash and the clout to throw around; he’s considered one of the most influential commercial real estate developers in town. David Fleming Attorney, Latham & Watkins; Chairman, Economic Alliance of the San Fernando Valley He’s contributed a total of $55,000 to Valley VOTE, however, his recent appointment to the Los Angeles Ethics Commission may bar him from contributing to the group in the future, although he said he doesn’t think that will be the case; “I haven’t gotten involved in it yet, because it’s premature,” Fleming said, “but I don’t believe I would be barred from contributing because these will be like state races for a city the Ethics Commission wouldn’t be a part of.” Rickie Gelb General partner, Gelb Enterprises; Valley VOTE board member If he doesn’t run for office himself, Gelb is likely to be on the list of top campaign contributors for folks who have backed his real estate projects in the past; he’s known for spreading the wealth far and wide in the Valley, but also for keeping a low profile about it in the process; donated $2,350 to now-state Sen. Richard Alarcon’s campaign against Richard Katz in 1998. Clay Lacy Owner, Clay Lacy Aviation One of the wealthiest aviators at Van Nuys Airport and not exactly best buddies with some members of the Los Angeles City Council, which, in his and other aviators’ views, has done little to push for a land use plan for the airport; Lacy and others have waited years to get approval for expansion projects to accommodate business growth; LAFCO attorneys recently included the airport on the list of Valley-based assets that would go to the new city, contrary to the city’s own legal opinion which said the airport would remain the property of the city of Los Angeles. Alfred E. Mann Chairman and CEO, Advanced Bionics He’s the Valley’s billion-dollar man and, some strategists say, likely to be motivated by past tiffs with City Hall over development plans in the northeastern portions of the Valley; but getting his support won’t be easy: he recently said he was not a fan of a Valley breakup; “Frankly, I’m opposed to secession. I don’t think it’s the answer to our problems,” Mann said. Walt Mosher President, Precision Dynamics Corp. Supported previous campaigns for former Assemblyman Richard Katz, a likely contender for a new Valley city mayoral or council seat; he’s also heavily involved in local politics and said he would “support anyone he thought would be a good candidate;” besides providing financial help, he said he would invite candidates to visit his company headquarters to introduce themselves to Precision employees. Sanford Paris Owner, Paris Industrial Parks A significant contributor to previous political campaigns and one of the biggest players in the Valley industrial property scene; “I have given to political campaigns in the past and when the time comes, I’m sure I will participate in a way that reflects the democratic process,” Paris said; as co-chair of the Valley Industry & Commerce Association’s ad hoc committee on secession, he will play a key role in setting up candidate forums. Irwin Rosenberg Vice president, governmental relations and business development, Laidlaw Transit Services Holds down the Valley office of Laidlaw Transit and a well-known political player, particularly in the Northeast Valley; he was a key supporter of Antonio Villaraigosa’s unsuccessful bid for mayor against James Hahn in 2001. Scott Schaffer President, City Cab He successfully took over taxicab rights to the San Fernando Valley from Valley Cab in 2000, becoming one of the two primary taxi providers; he’s got the San Gabriel Valley locked in tight and predictions are that he would push for a Valley city monopoly. Dan Selleck President, Selleck Development Group In partnership with Voit Cos., built “The Plant” in Panorama City; no stranger to politics, he’s currently embroiled in a battle in Agoura Hills over plans to construct a 255,000-square-foot shopping center with Home Depot as anchor tenant; voters will decide this week whether to pass a law curtailing the size and scope of development projects in the city. Ron Tutor President, Tutor-Saliba Corp. Handled (some have said mishandled) the Los Angeles Metro Rail subway contract; would likely be first in line to build a Valley subway, something many connected to the secession movement have pushed for decades and failed to get; the company reportedly contributed $5,000 to Alarcon’s campaign against Richard Katz in 1998. Robert Voit President, Voit Cos. He’s been called the Valley’s “commercial real estate king” and runs one of the city’s most prominent property management companies; partnered with Selleck Development Group on construction of “The Plant” in Van Nuys; he and other Voit executives reportedly gave to Alarcon’s campaign against Katz.