City Officials Repay Disney for Gift Tickets

Several city officials refunded to Walt Disney Co. $5,637 in tickets once listed as gifts to them, according to amended conflict-of-interest statements filed Thursday.

But even with the refunds, City Atty. Jack L. White said, Councilmen Bob D. Simpson and Irv Pickler and City Manager James D. Ruth would be temporarily barred from considering plans for Disneyland’s $3-billion expansion in the city.

“I don’t think any of us had the intention of putting the city in a position like this,” Simpson said. “It’s very embarrassing.”

Contrary to previous claims that the bulk of the free tickets were provided to visiting dignitaries and government officials, the amended statements indicate that council members gave a number of the free passes to relatives and friends.

An opinion issued last month by the state Fair Political Practices Commission and requested by the city stated that those tickets obtained through an official and distributed to friends or relatives would be counted as political gifts. State law bars officials who accept more than $250 in gifts per year from voting on issues involving the donor for a year.

It was the FPPC finding that pushed Simpson, Pickler and Ruth beyond the state-mandated limits. Mayor Fred Hunter, whose Disney gifts, valued at $1,683, also threatened to disqualify him, remained eligible for voting after it was determined that he accepted most of the free passes more than a year ago from this month.

Hunter could not be reached for comment Thursday.

In the amended statements filed Thursday with the city, Simpson listed the value of personal gifts from Disney during 1991 at $476; Pickler’s gifts totaled $1,118; and Ruth’s were valued at $4,380. The statements were to be forwarded to the state commission, but FPPC spokeswoman Carol Thorp said late Thursday that she was not aware of the arrival of the amended documents.

In Anaheim’s case, the state commission allowed council members and the city manager to reduce their political gift totals by reimbursing Disney for only those free tickets they gave to “constituents” other than family or friends.

The statements filed Thursday showed that Hunter paid $2,750; Pickler, $1,347; and Ruth, $1,540. None of Simpson’s gifts were eligible for reimbursement, according to the documents. Had the payments not been made, the tickets would have been charged as gifts and threatened a council majority’s consideration of any Disney issues until year’s end.

With Hunter’s eligibility apparently secure, the council will barely field a three-member majority for possible votes on any Disney-related matters.

According to state law, City Atty. White said, Simpson will regain his voting eligibility by Aug. 1, while Pickler will be barred until Nov. 2. Pickler could not be reached for comment.

Although Ruth is not a voting member of the council, White said, the city manager will be prohibited until July 29 from joining any discussions that could have a potential financial impact on the theme park expansion project or on Walt Disney Co.

“I don’t anticipate that being a problem,” Ruth said of the restrictions. “My involvement has been minimal so far. After July 29, I will be freed up to do more. We’ve got to keep moving on this thing.”

But White said the force of such restrictions could be felt as early as next week, when the council has scheduled a hearing on putting electrical utilities in the Disneyland area underground.

The city attorney said he will advise Pickler, Simpson and Ruth to refrain from participating in discussion of that issue, even though it is unknown what impact--other than improving aesthetics--the utility project would have on Disneyland.

The reports of Disney gifts also come as the city continues negotiations with the entertainment company about critical environmental and financial issues related to the Disneyland expansion. City and Disney officials have said the project could call for about $1 billion in public-works improvements.

Disneyland President Jack Lindquist and Executive Vice President Ron Dominguez said Thursday that they do not believe any portion of the project will be delayed because of the temporary voting prohibitions involving Pickler and Simpson.

“Because of the varying time elements involved, it’s our understanding that the whole council would be eligible before the end of the year,” Lindquist said.

It is expected that the environmental impact study of the Disney expansion will be completed next month, but White said that any “major decisions” involving the project are not anticipated until early next year.

“We are using an abundance of caution,” the city attorney said.

The acceptance of Disney gifts and the potential danger it presented to city officials became a major cause for concern in late March when it was feared that a council majority, including the mayor, could be disqualified based on gift totals Disneyland provided in reports to the city.

As a result, the entertainment company joined the city in a request for a specific ruling from the FPPC that would distinguish the acceptance of free tickets for officials’ personal use from the acceptance of those distributed by them to third parties.

“We’re delighted that this is behind us,” Lindquist said.