Colonies Political Spending Spree


Google

Developer puts lawsuit behind him, again gives to S.B. County supervisors' campaigns



10:00 PM PDT on Tuesday, May 6, 2008
By DUANE W. GANG
The Press-Enterprise

Colonies Partners, the Rancho Cucamonga-based developer that received a $102 million settlement from San Bernardino County in late 2006, is in the midst of a political spending spree.

The company once again is donating money to its former adversaries after having avoided contributions to county supervisors during the height of a nearly five-year legal battle.

Colonies Partners, its co-managing partner Jeff Burum and other related entities have contributed more than $680,000 to state and county campaigns and political action committees since the start of 2007.

The donations have included direct donations to candidates and nearly $500,000 to five local political action committees, campaign finance records show.

Those committees, in turn, are backing campaigns across the county -- from the Board of Supervisors and the state Assembly to city councils and school boards.

"We obviously want to support people who are economic-development-friendly, housing-friendly," Burum said in an interview. "We believe in supporting candidates who believe in our philosophy of taxing as little as possible."

Beginning in 2002, the county and Colonies Partners fought over flood-control easements on the company's commercial and residential development in northeastern Upland.

Supervisors voted 3-2 in November 2006 to settle the dispute for $102 million. The county Flood Control District issued $80 million in bonds to help cover the payout.

The legal battle wasn't the only place where Colonies Partners clashed with supervisors. In 2006, the company spent $335,000 opposing Measure P, a November 2006 ballot measure backed by the supervisors that sought to impose term limits on board members and increase their pay.

Voters approved Measure P, but Colonies was the sole financial backer of an attempt to defeat the changes. The anti-P campaign called the supervisors greedy politicians.

The campaign committees of four supervisors contributed a total of $78,000 to help persuade voters to approve the measure.

Colonies Partners, like other developers in San Bernardino County, has a long history of significant contributions to local campaigns. In 2004, Colonies gave $25,000 to Supervisor Gary Ovitt's first campaign for the board. In 2002, it contributed $12,000 to Supervisor Paul Biane.

The company and Burum also are active in myriad other political, business and civic ventures. Colonies Partners donated a total of $154,650 in 2004, $207,500 in 2005 and $464,000 in 2006 to various campaigns.

And Burum said he and his companies give about $1 million a year to charities.

Burum was active in former Massachusetts Gov. Mitt Romney's unsuccessful campaign for president and is a founder of the New Majority, a group pushing for a redistricting plan in California.

In addition to Colonies, Burum is a managing member of Diversified Pacific, a Rancho Cucamonga-based developer, and chairman of Diversified Pacific Opportunity Fund, a private equity group. The fund recently purchased $60 million in loans from Rancho Cucamonga-based PFF Bancorp, which posted a $159 million first-quarter loss this year.

Burum also is a proponent of affordable housing. He co-founded what is now known as National Community Renaissance, a nonprofit affordable-housing company that operates more than 9,500 apartments.

Burum also co-founded Hope Through Housing, a nonprofit group that provides social services in affordable-housing communities.

But at the height of the Colonies dispute with the county, the company avoided making campaign contributions to county supervisors. Burum said it just wasn't wise to donate to supervisors during a pending lawsuit.

Colonies made no direct contributions to supervisors in 2005 or 2006, but it resumed its giving in 2007, campaign finance records show.

Colonies last year contributed $10,000 to Supervisor Brad Mitzelfelt and $5,000 to Ovitt. Burum gave $2,500 to Biane and $2,500 to Supervisor Dennis Hansberger, a vocal critic of settling the lengthy legal battle.

"Although Hansberger and I didn't see eye to eye, I believe, in many instances, he fights for the right causes," Burum said.

Hansberger said he continues to disagree with settling the case, but the dispute with Colonies is in the past.

"It was never about being personal. It was never about the individuals involved," he said. "It was a matter of policy."

For three of the local committees -- the Committee for Effective Government, the Alliance for Ethical Government, and the San Bernardino County Young Republicans -- the Colonies Partners' $100,000 donations accounted for more than 90 percent of the total amount raised last year.

The company also gave $100,000 to the San Bernardino County Safety Benefits Association, the union that represents sheriff's deputies, and $93,455 to Inland Empire PAC, a committee with ties to Assessor Bill Postmus, records show. The PAC has received a loan from Postmus and contributed to his campaign.

Bob Stern, president of the Los Angeles-based Center for Governmental Studies, said the contributions are a way to build good relationships with government officials.

"It is not really a reward for past action but access for future action," Stern said.

Stern, who favors greater disclosure requirements for PACs, said it can be hard to find out who is behind such committees, particularly if the PACs receive donations from several sources.

"When they are giving that much money, you know who is pulling the strings," Stern said. "It is really Colonies funding it. The danger is the public doesn't really know who is funding the local candidates."

San Bernardino Councilman Neil Derry, who is challenging Hansberger for the 3rd District seat on the Board of Supervisors, declined to comment on the $10,000 he received from the Committee for Effective Government. Derry also declined to say who controls the committee.

Hansberger said he is concerned about the amount of money flowing into local political action committees, but he noted that the groups have a right to donate.

Hansberger and Derry both said they would support greater disclosure requirements for political action committees.

Alliance for Ethical Government, which received $100,000 from Colonies, has supported Ontario Mayor Paul Leon and Ovitt, the county supervisor.

The PAC also paid Mark Kirk, Ovitt's chief of staff, $10,000 last year for campaign consulting.

Kirk declined to name the PAC's seven board members, but he said they support candidates who "bring ethical behavior and principles back to government."

The deputies union PAC's giving included contributions to Mitzelfelt, Ovitt, Biane and Supervisor Josie Gonzales. Hansberger was the only supervisor who did not receive a donation from the union between January 2007 and March 17 of this year. It gave to Derry, the 3rd District challenger, instead. Reach Duane W. Gang at 951-368-9547 or dgang@PE.com

POLITICAL SPENDING

Here's a look at Colonies Partners' contributions to five local political action committees and which campaigns those PACs support.

$100,000 to Committee for

Effective Government

Colonies' contribution accounts for 98 percent of the PAC's 2007 fundraising. The PAC gave $10,000 to Neil Derry for Supervisor, paid $7,450 for mailings and research services in support of Neil Derry for Supervisor and spent $6,142 for mailings in support of Supervisor Brad Mitzelfelt.

$100,000 to Alliance for

Ethical Government

Colonies' contribution accounts for 99 percent of the PAC's fundraising in 2007. The PAC's donations included $13,000 to Ontario Mayor Paul Leon, and $10,000 to Supervisor Gary Ovitt, and it paid $10,000 to Mark Kirk, Ovitt's chief of staff, for campaign consulting.

$100,000 to San

Bernardino County

Young Republicans

Colonies' donation accounts for 93 percent of the PAC's 2007 fundraising. The PAC paid $8,605 for printing and mailing costs in opposing San Bernardino City Attorney Jim Penman in October 2007.

$100,000 to San

Bernardino County

Safety Employees Benefit

Association Local PAC

Colonies' contribution is about 14 percent of what the association, the union that represents sheriff's deputies, raised from January 2007 through March 17 of this year. The PAC's donations include $35,000 to Derry's supervisorial campaign and $38,500 to Mitzelfelt.

$93,455 to Inland

Empire PAC

Colonies' contribution accounts for 43 percent of the PAC's 2007 fundraising. The PAC's campaign donations include $107,500 to Mitzelfelt and $45,000 to Assessor Bill Postmus.

Source: Campaign finance reports filed with San Bernardino County and California Secretary of State



Google

 

You are at www.paveroadsfirst.com Hesperia California. Our goal is to make local and County government responsible to the people and public needs before private special interests.

Hesperia City Government  and the County of San Bernardino need to focus and work to improve the quality of life for the residents of Hesperia , the High Desert and the County of San Bernardino . To meet the needs of the people of Hesperia  and the High Desert is their only job while in public office. Are they doing their job? Can they do better? Can we do better? Contact us at paveroadsfirst@verizon.net