Excerpts from the March 1, 2012 El Segundo Herald Article on Chevron

Here are some good excerpts from the March 1, 2012 El Segundo Herald article, “Willmore Files Claim Against City, Suspects Chevron Issue Prompted Firing” by Brian Simon. These excerpts are from page 12, but the article starts on page 1. KCET SoCal Connected TV show producer Karen Foshay and Los Angeles Times writer Jeff Gottlieb had this information but chose to ignore it because it contradicted their anti-business bias and agenda.

Asked about the lack of response to Willmore and if he had formed a legal opinion on the Chevron matter, El Segundo City Attorney Mark Hensley said he could not disclose information due to attorney/client privilege. However, he pointed out that for events “that happened 20 years ago and based on statutes that go back a quarter of a century, the process of reviewing all that is lengthy. There are statute of limitations issues…Had I been asked about something that happened 20 years ago, it would take a considerable amount of time to study it.”

A Council member in 1993, Mike Robbins confirmed that “the City was going to get sued by MRC, Chevron or both—and reached a legal settlement where the City paid MRC a reduced amount, Chevron effectively paid the City the amount paid to MRC, and Chevron’s future tax liability was more clearly defined.” Robbins went on to describe MRC’s approach as “hostile and aggressive,” and felt the firm “endangered the City’s business retention and attraction program.”

Asked to elaborate why the UUT deal with Chevron was fair, Robbins explained that El Segundo is a low-tax city by choice and can’t be compared to other municipalities. He added that Chevron is a unique case because its giant 951-acre parcel is self-contained. “The City does not pay to provide and maintain all the City infrastructure and services on the massive Chevron property that it provides for all the other business and residential properties in town,” Robbins said. “These include many miles of roads, alleys, sidewalks, storm drains, water and sewer pipes, street lighting, trees, landscaping, street sweeping, residential trash collection, and police patrols, as well as public parks and recreation facilities. It is not fair to charge Chevron taxes for City infrastructure and services that it does not receive.”

Meanwhile Councilmember Jacobson, who was El Segundo’s Mayor at the time of the settlement, described MRC as a “bounty hunter” since the company stood to make a 25 percent fee. “They were trying to charge Chevron for its own gas and the Council didn’t agree,” he said. Jacobson maintained that the Chevron UUT settlement was approved in public—not closed—session. “There was nothing secret about it.” Jacobson then also noted that “even though we may have pulled them off the UUT work, we still use MRC [now known as Muni] to this day.”