A three member Council took on a suggested
conflict of interest regarding Planning Commissioner Wayne Garibaldi at this
week’s Jackson City Council meeting, as two council members were out of town.
It was the hottest topic to appear on the agenda as the City’s legal
representation Tom Gibson of Best, Best and Kreiger LLP, presented his written report on the
matter declaring if the situation did indeed present a conflict of interest. The
matter arose on May 7th when the Planning Commission met to discuss Jackson Hills and make a recommendation to the
City Council on the project. Citizen
Jack Georgette approached the Commission before they began and asked if
Commissioner Garibaldi had a conflict of interest being as his boss, Larry
Standing, had signed a petition in favor of the project.
Georgette said Garibaldi, an Officer of the Bank
of Amador, could fear
losing his job if he votes against the project since his boss is pro Jackson
Hills, or Georgette suggested Garibaldi could have hidden intentions as he
might have money to gain if he votes for approving the project since the
developers will need millions of dollars to finance the project and the Bank of
Amador may provide those loans which in turn would benefit Garibaldi who both
works and owns stock at the company. At that point the City Attorney,
Carlyn Drivdahl, said the facts presented did not establish that there was
indeed a conflict of interest therefore Garibaldi was not did not disqualified from
participating in the meeting or the decision, and the meeting continued. Gibson’s legal analysis does
disclose that Garibaldi has three economic interest: he owns American
River Bank shares, he is a manager of the bank branch, and he receives a salary
from the bank, however the legal analysis also clearly states that this is still not enough reason for
Garibaldi to be disqualified from the decision under the Fair and Political
Practices Commission (FPPC) laws. Gibson points out in the document that there is no existing
relationship between the Bank of Amador and the Jackson
Hills development, and that
there are at least 6 other mortgage lenders operating in the Jackson area that could also compete to
finance the project’s loans, supposing that the project is approved.
Legal Counsel said Garibaldi would only be
disqualified if there was a monopoly of sorts with, say- just two mortgage
lenders in the area. Gibson proceeded last night in walking the council through
the Fair and Political
Practices Commission 8 step analysis which is used to decide if an elected
official has a conflict of interest. Using these steps Gibson said he
determined, “Based on the facts as presented, Commissioner Garibaldi’s economic
interests in the Bank do not establish a conflict of interest in relation to
the Jackson Hills project.” Public members present
did not seem to agree. Citizen Marilyn Lewis came forward and spoke about a
recent article in the paper about the matter and said she was upset with the
way Georgette was characterized in the editorial. She said, “A conflict of
interest is very simple to determine. If there is any hint of impropriety in a vote the
elected or appointed official should step down as a decision-maker.”
Georgette also spoke and said he had hoped when bringing up this issue on May 7th that
Commissioner Garibaldi would have explained why he felt he did not have a
conflict of interest and why he can make a fair decision on the matter.
Georgette
also made a point that being as it is small community, even if a person puts
their name instead of the name of their business on a petition, other community
members still associate them with the business they own or work at. He
continued to say that he felt there’s a good chance that the Bank of Amador has
something to gain if the project is approved. “To me technically legally so far it may not be a legal
conflict of interest, but as Marilyn said it certainly has the look of
impropriety.
Unfortunately I think our city, this little community which I have been a part
of, has been embarrassed by this and it may last a while.” Citizen Thornton
Consolo ended his comments to the Council on the matter by saying, “It isn’t a conflict of interest because
you guys don’t want it to be one.” Citizen Bud Lewis also spoke and
echoed Georgette by saying he felt Garibaldi should have explained himself and
said it is his belief that it was a conflict of interest for Garibaldi to be a
decision maker in the case of the Jackson Hills Project. Several of the public
members said they think Garibaldi is a good planning Commissioner, but
suggested that he had a lapse of judgment regarding this issue.
Council member
Andy Rodriguez also had a very strong opinion on the matter- he said that Commissioner
Garibaldi has the utmost
confidence of the Council. He continued by saying that hundreds of
people in the community have known Garibaldi and his family for years and that
they have found him to be an honest person. “I have not heard one person outside of this room right
now suggest even a hint of impropriety. The feeling of the community is that Wayne is an honest honorable person, and that
he had no conflict of interest. He has
the trust of the City of Jackson…”
Rodriguez concluded by saying that vast majority of Jackson Citizens view this
as a non issue. Council Member RosaLee Pryor-Escamilla said that the City handled the situation that came
before them by requesting a legal report and that, that reports states there is
not a conflict of interest, and that it is no longer an issue. Mayor
Drew Stidger agreed and said he’s known Garibaldi since he moved to the area and have found him to
be “a man of honesty and integrity and if there had been an issue he would have
stepped down,” he said. With that
the Council accepted the legal
opinion of the City Council, stating that Commissioner Garibaldi did not have a
legal conflict of interest.
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