Correcting Mis-information Regarding the Fun Factory Lease

Over the last ten years, there has been a growing effort to rewrite history and confuse Redondo Beach residents using conspiracy-laden, curated bits of misinformation in ongoing attempts to politicize municipal decisions with the goal of creating further division, skepticism and discord. It is unfortunate, and residents should be warned that the same naysayers continue to play a round of three card Monty with them… hoping they take their eye off their “game” and fall prey to fear tactics.

So let’s unpack last week’s letter (Redondo labor contracts) by a recent appointee to the Budget and Finance Commission.

Mr. Solomon attempts to conflate employee contract negotiations, specifically our Public Safety members, with the city’s 2007 Asset Management Plan to reacquire all leaseholds in the pier/marina for the intention of consolidating and revitalizing a contiguous area cost-effectively and efficiently. Previous councils voted unanimously in 2011, 2012 and 2014 to reacquire, through financing, Pier Plaza, International Boardwalk and the Redondo Beach Marina for a total of $23,665,000. Did I mention this was done unanimously?

The $9 million for Fisherman’s Cove (Fun Factory) was the 4th acquisition. Commissioner Solomon conveniently fails to mention, as announced by then Councilmember Brand, that this was yet another unanimous decision in closed session… which then became politicized in open session, yielding a 3/2 vote. He clearly is unaware of the original over-inflated asking price for reacquisition, or the estimated potential litigation costs (as the city had 40+ years of pending claims with Fisherman’s Cove) which were settled as a result of the negotiations.

Furthermore, Mr. Solomon should understand that these acquisitions were financed using Tidelands & Uplands funds, specific enterprise funds for those areas in and around the pier/harbor. Whereas, employee salaries and costs are attributed to the city’s general fund. He may respond that the General Fund acts as a guarantor… but that is already the case with the current financing of prior acquisitions.

Finally, Mr. Solomon wants you to believe that a “fat cat developer” somehow lines their pockets with this acquisition money. So, let’s be clear here… the city owns and controls the leaseholds. And as I recall, the negotiations and subsequent purchase was stimulated by community outcry demanding absolute certainty that the South portion of the waterfront project would not be “phased.”

Every decision made is quite a bit more complex than the flame throwing soundbites that dominate this section of the paper and Social Media would lead you to believe. Mr. Soloman knows this and hopes you don’t care.

—Christian Horvath, Redondo Beach councilmember