Advertisement

Carson Seeks Review of Former Planner’s Business Activities : Government: Former Planning Commissioner Francisco (Frank) Gutierrez is accused of conflict of interest in ties to a developer.

Share
TIMES STAFF WRITER

The Carson City Council decided Tuesday to ask the district attorney’s office and the state Fair Political Practices Commission to review former Planning Commissioner Francisco (Frank) Gutierrez’s alleged business ties to a residential developer.

Gutierrez resigned last weekend in the wake of conflict-of-interest allegations raised by a group of mobile home park residents.

Repeated attempts to reach Gutierrez for comment have been unsuccessful, but in his resignation letter to the city he denied any wrongdoing and said accusations leveled against him were “full of falsehood and innuendo.”

Advertisement

“Items are taken out of context, and false conclusions are made for which there is no basis,” Gutierrez wrote. He further stated that “the pettiness and dirty politics that I foresee in the current election will result in me being the scapegoat and sacrificial lamb for other person’s and group’s political agenda.”

In a complaint filed with the city by Homeowners Against Rent Decontrol, an organization of residents of the city’s two dozen mobile home parks, the group claimed that Gutierrez had a business relationship with Thomas Development Inc. The firm has built six residential developments in Carson since 1986 and is currently in escrow to purchase and close Vera Carson Mobilehome Estates, contingent upon the city’s approval.

Meeting Tuesday, the council directed City Administrator Larry Olson to compile information on Gutierrez and Thomas Development Inc. and forward it to the Los Angeles County District Attorney’s Office and the FPPC to determine if there had been any wrongdoing.

In an interview Tuesday, Councilwoman Sylvia Muise said Gutierrez “should have left a long time ago. He’s rude; he’s biased; his performance on the commission has been poor.”

Muise said Wednesday she did not know if the allegations against Gutierrez are true, but if they are, she added, “I find it unacceptable.”

Councilwoman Kay Calas, a longtime friend and supporter of Gutierrez, called the accusations “unfortunate” but said she knew nothing about the merits of the group’s claims.

Advertisement

The controversy involving Gutierrez began when Greg Stefflre, attorney for Homeowners Against Rent Decontrol, filed a three-page complaint with the city last week demanding that Gutierrez be disqualified from acting on closures of mobile home parks because of his alleged ties with David Thomas, president of Thomas Development Inc.

Gutierrez “has directly monetarily benefited” from decisions involving the closure of mobile home parks within the city of Carson, Stefflre alleged in the complaint.

County records show that Gutierrez filed statements in August, 1990, registering the names David Thomas & Associates Realty, and Palm Court Villas Realty as businesses. By registering the businesses, Gutierrez has established himself as a principal associate in them, the mobile home park organization said.

Records show that both companies list the same Torrance address as that of Thomas Development Inc.

Thomas has not returned repeated telephone calls for interviews. But in an interview in the Daily Breeze on Wednesday, Gutierrez speculated that the county records bearing his name were forged.

“We never did business,” Gutierrez said. “That’s not my signature.”

Stefflre said that if the documents are indeed forgeries “then the question is, who would benefit from doing such a thing? I would strongly encourage Mr. Gutierrez to demonstrate with credible proof that it is a forgery and that he never ran such businesses.”

Advertisement

City records show that Gutierrez did not vote on two mobile-home-related issues that came before the Planning Commission. In August, 1991, he was absent when the commission approved relocation benefits in the proposed closure of Vera Carson Mobilehome Estates. On Jan. 28, after receiving a copy of the Homeowners Against Rent Decontrol complaint, Gutierrez abstained from voting on another item involving procedural changes in closing a mobile home park.

City records also reflect that Gutierrez voted to approve six Thomas Development projects in Carson, the last of which was passed by the Planning Commission on Oct. 10, 1989--less than a year before his name appeared on documents registering David Thomas & Associates Realty and Palm Court Villas Realty with the state-required Fictitious Business Name filings.

Gutierrez was first appointed to the Planning Commission in July, 1979. With the exception of a brief period in the early 1980s, he has served about 10 years on the commission.

In February, 1990, Gutierrez was fired from his job as a high-ranking Los Angeles County health inspector for not disclosing his ties to slumlords while serving as chairman of an interagency slum housing task force in Los Angeles, according to a Los Angeles deputy city attorney.

Gutierrez was alleged to have been a business associate of slumlords that the city was investigating.

A suit filed by Gutierrez against the county health department is pending.

Gutierrez’s History on Commission

Francisco (Frank) Gutierrez Jr.’s history as a Carson planning commissioner.

July, 1979: Former Mayor Kay Calas nominates Gutierrez and council confirms appointment on a 5-0 vote.

Advertisement

June, 1982: Then-Mayor Thomas Mills, shortly after assuming mayor’s post, spearheads Gutierrez’s ouster from commission on a 3-2 vote. Several other Calas appointees on other boards and commissions are also replaced. Mills is joined by then-Councilman Clarence Bridgers and Councilwoman Sylvia Muise in removing Gutierrez. Calas and Jake Egan vote against the replacement.

June, 1984: Calas regains position of mayor and wins reappointment of Gutierrez to planning commission on a 3-2 vote. Calas is joined by council members Vera Robles DeWitt and Jake Egan. Mills and Muise vote against reappointment.

July, 1987: Calas recommends Gutierrez for reappointment, which council approves 3-1. Calas, DeWitt and Councilman Michael Mitoma vote in favor of Gutierrez. Muise opposes reappointment. Mills is absent.

April, 1989: Muise introduces motion, seconded by Mitoma, to remove Gutierrez and another commissioner from the panel after two groups of residents complain of bias and the way Gutierrez runs commission meetings. The motion fails.

August, 1989: Then-Councilman John Anderson renominates Gutierrez to commission and motion is approved by council on a 4-1 vote. Anderson, Calas, DeWitt and Mitoma support reappointment. Muise votes against it.

February, 1992: Gutierrez resigns from commission after a group of mobile-home residents raises questions about whether alleged ties to a residential developer in the city represent a conflict of interest.

Advertisement
Advertisement