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Conflict-of-interest complaint filed against attorney for some Museum House opponents

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An affiliate of the developer of Museum House, a 25-story luxury condominium tower planned for Newport Beach, lodged a complaint Monday alleging that Mark Rosen, an attorney and part-time county employee, violated state and county ethics rules while representing a group that opposes the development.

Sean Matsler, an attorney with Manatt, Phelps & Phillips LLP, a law firm representing OCMA Urban Housing LLC — an affiliate of Museum House developer Related California — sent a letter Monday to the Orange County Board of Supervisors requesting that the county investigate whether Rosen’s “lobbying efforts” with Citizens Against High Rise Urban Towers violate state conflict-of-interest laws and the Orange County ethics code.

Rosen is an attorney for Citizens Against High Rise Urban Towers, a Santa Ana-based nonprofit that has been fighting the Museum House project through mailers and television ads. Rosen also works about 20 hours a week as an executive assistant to county Auditor-Controller Eric Woolery. Rosen said he earns about $3,000 per month advising Woolery on issues related to county finance.

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The county code of ethics states that no employee “shall engage in any business, transaction or activity, or have a financial interest, which is in conflict with the proper discharge of official duties or would tend to impair independence of judgment or action on the performance of official duties.”

Rosen said the complaint against him is incorrect and without merit.

“I haven’t lobbied anyone,” he said. “[Citizens Against High Rise Urban Towers] is not circulating any referendum petitions, and I certainly haven’t lobbied the county.”

The letter takes issue with Rosen’s comments this month that the Newport Beach City Council erred in approving the Museum House project because it voted without receiving requisite written confirmation from the Federal Aviation Administration that the condo tower and aircraft using a nearby Police Department helipad would not pose a threat to each other.

The Airport Land Use Commission, a county-run group, signed off on the development in November with the condition that the FAA and Police Department also determine that the project’s proximity to the helipad is acceptable. City officials have said they received sufficient documentation before the Nov. 29 council meeting from Kari Rigoni, executive officer of the Airport Land Use Commission. In her letter, Rigoni said the FAA was OK with it.

The complaint states that Rosen has engaged the news media and various Airport Land Use Commission employees in an attempt to undermine the decision on the project.

“Because the county is responsible for funding of the ALUC, including with respect to employees and operating expenses, there is a likelihood that Mr. Rosen personally, in his capacity as an employee of the county auditor-controller’s office generally, has authority and influence over the funding of ALUC,” the letter states.

Rosen called that “a stretch” and said he’s often involved in election cases in which he represents people suing Orange County Registrar of Voters Neal Kelley and that there’s never been a conflict-of-interest issue.

“This is just another attempt by the Museum House people to smear anyone and everyone who gets in their way,” Rosen said. “They’re using any kind of slimy, swampy tactic they can use.”

Monday’s complaint is the latest turn in a battle between the developer and groups that oppose Museum House.

Line in the Sand, the political arm of Still Protecting Our Newport, is challenging the council’s approval of the project through a petition drive seeking a referendum. Line in the Sand needs 5,800 verified signatures of local voters within a month to potentially bring the project to a public vote.

OCMA Urban Housing recently distributed door hangers urging Newport residents not to sign any petitions circulated by Line in the Sand or Citizens Against High Rise Urban Towers. The door hangers alleged that the latter group is funded by “dark money” — funding given to nonprofits that don’t have to disclose the funding’s source.

The hangers also referenced a complaint filed against the group in November with the California Fair Political Practices Commission. Newport Beach activist Bob McCaffrey alleged the nonprofit evaded campaign disclosure requirements when it produced Facebook ads, TV segments and mailers opposing Museum House. Related California has repeatedly said the messages are false and misleading.

On Nov. 30, an FPPC representative wrote to McCaffrey that the commission dismissed the matter because Citizens Against High Rise Urban Towers hadn’t violated the law.

OCMA Urban Housing recently launched two websites, SaveTheMuseum.com and FakePetition.com.

The former accuses Rosen of circulating a fake online petition that could hurt the Orange County Museum of Art’s efforts to offer art education to children and senior citizens. Museum House would be built on the current site of the art museum, which plans to move to Costa Mesa.

The latter website contains a form and a phone number to report petitioners gathering signatures in Newport Beach. Matsler has said the site is about ensuring the petition process is legal.

Staff writer Bradley Zint contributed to this report.

hannah.fry@latimes.com

Twitter: @HannahFryTCN

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