DeSantis signs Florida’s 6-week abortion ban. Could that hurt his presidential chances?

• April 14, 2023

By Steve Contorno | CNN

Floridians woke up Friday morning to discover Gov. Ron DeSantis had signed into law a six-week abortion ban overnight, meeting behind closed doors with a select group of invited guests to give final approval to a bill that had just passed the state legislature earlier in the day.

In backing a six-week ban, DeSantis fulfilled a campaign pledge to block abortion after the detection of a heartbeat — just before he is expected to launch his 2024 presidential bid. But as he inches toward a national campaign, DeSantis, who rarely sidesteps cultural clashes, has also become oddly muted on abortion since the fall of Roe v. Wade and has avoided laying out a federal platform before jumping into the race.

Speaking Friday morning to an overwhelmingly pro-life audience at Liberty University, a deeply conservative Baptist college in Virginia, DeSantis didn’t mention the bill he had signed the night before.

The late-night private signing also stood in stark contrast to the celebratory event exactly a year prior, when DeSantis, surrounded by women and children and in front of hundreds of onlookers, enacted a 15-week abortion ban at a Orlando-area megachurch as news cameras captured the scene.

The six-week ban “is going to cause a lot of problems for him,” said Amy Tarkanian, the former chairwoman of the Republican Party in Nevada, where voters have cemented abortion protections in the state constitution. “And I’m pro-life, but I can see the writing on the wall.”

The US Supreme Court decision last June that ended a federal right to abortion access has throttled the national political landscape, energizing Democrats and leaving Republicans grasping for a message that can blunt the fallout. The latest harbinger of trouble for the GOP came last week from Wisconsin, a presidential swing state where liberals took control of the state Supreme Court in an election fought over the future of abortion access.

But with DeSantis on the verge of entering the GOP presidential primary — for which abortion is often a litmus test for candidates — Republican state lawmakers delivered their leader a political victory, flexing their super majorities in both Florida chambers to swiftly push through the new restrictions. The law will take effect if the state Supreme Court overturns its past precedent protecting abortion access, which is widely expected. When that happens, Florida, once a sanctuary for Southern women whose states had made it difficult to legally end a pregnancy, will become one of the hardest states in the country to obtain an abortion.

In an early sign of how Democrats intend to paint DeSantis, White House press secretary Karine Jean-Pierre in a statement called Florida’s bill “extreme and dangerous” and said it “is out of step with the views of the vast majority of the people of Florida and of all the United States.”

A Republican fundraiser close to the governor’s political operation told CNN that the six-week ban would play “great in primary,” where DeSantis would face former President Donald Trump, who appointed three of the justices that voted to overturn Roe v. Wade, but acknowledged it was “not good in general” election.

“But you got to get to the general,” the adviser added.

In the year following the Supreme Court ruling in Dobbs v. Jackson Women’s Health Organization, Democrats have rattled off a series of victories built in part on voters mobilized by abortion. In solidly red Kansas, voters last year blocked a referendum that would have amended the state constitution to make abortion illegal. In key states like Pennsylvania and Nevada, Democrats pummeled Republican Senate candidate over their views on abortion — with great success, as the party held the US Senate. In battlegrounds like Arizona and Michigan, Democratic gubernatorial candidates won by vowing to lift longstanding state abortion bans that predated the Roe decision.

Whether the issue continues to animate general voters remains to be seen, but opinions on the Dobbs decision do not appear to have shifted. A Marquette Law School poll last month found two-thirds of voters opposed the ruling, nearly identical to the results in its survey following the November midterms.

‘A man of action’

Amid the national outcry to the SCOTUS decision, the typically outspoken DeSantis has remained uncharacteristically reserved on the topic. Unlike other issues, like eliminating college diversity programs and curbing legal protections for the media, he has elevated with staged news conferences and frequent messaging on conservative media, DeSantis has offered vague commitments to protect life but repeatedly declined to say where Florida should draw the line on abortion access.

In his lone debate last year against Democratic gubernatorial opponent Charlie Crist, DeSantis wouldn’t say what abortion restrictions he would pursue if reelected for a second term. Asked at a March news conference if he supported exceptions for victims rape and incest, DeSantis called it “sensible” and said he would “welcome pro-life legislation,” then quickly pivoted to another topic.

DeSantis signed the bill at 10:45 p.m. EDT Thursday in a closed-door ceremony after returning from a political event in Ohio, a rare-late night action by a governor who often times his actions to maximize exposure.

“I can’t speculate on his mental processes and what he decides to speak on,” said John Stemberger, president of Florida Family Policy Council, a conservative Christian organization that supported the bill. “I’m concerned not with words but with action, and he is a man of action.”

Some Republican operatives believe DeSantis is better positioned than others to stave off primary attacks from the right without alienating swing voters. In a series of posts on Twitter, Jon Schweppe, director of policy and government affairs at the conservative American Principles Project, suggested that by supporting some exceptions for rape and incest, DeSantis would neutralize a key Democratic talking point.

“What moves voters the most? What did Democrats spend $500M talking about in the 2022 midterms? EXCEPTIONS,” Schweppe said. “Voters want exceptions for rape, incest, and the life of the mother. That’s the most important issue. Outside those exceptions, voters are fairly pro-life.”

Schweppe had previously raised the alarm that “Republicans need to figure out the abortion issue ASAP” after last week’s defeat of a conservative judge in the Wisconsin Supreme Court race.

A group of abortion-rights activists protest outside the Leon County Courthouse in Tallahassee, Florida, on Thursday. Earlier that day, the Florida Legislature approved a ban on abortions after six weeks of pregnancy, a proposal supported by GOP Gov. Ron DeSantis as he prepares for an expected presidential run.

The exceptions offered by Florida’s proposed six-week ban, though, are limited to 15 weeks after conception and require victims of rape and incest to show a police report or other evidence of their assault to obtain an abortion. Similarly, two doctors would have to sign off that a mother’s health is at serious risk or a fetal abnormality is fatal before a woman can end a pregnancy after 15 weeks.

Bill McCoshen, a veteran GOP consultant in Wisconsin, acknowledged that Democrats have campaigned effectively on abortion there in recent races. But he said it will be harder to attack DeSantis on abortion in his state, where the current law, passed in 1849 and reinstated after the fall of Roe, bars abortion without exceptions.

“To voters here, the perception of his answer will be that it’s better than the 1849 law,” McCoshen said. “If he signs that law, that will be an improvement of the law that’s here. It may not be as middle of the road as some states, but it’s better than what we currently have in many people’s minds.”

Expectations from GOP voters

Still unclear, though, is how DeSantis will navigate new pressures from conservative voters, many of whom will expect their next nominee to use the powers of the presidency to end abortion nationwide. DeSantis, who has not yet declared but is laying the groundwork for a campaign, has so far not faced any questions about what abortion restrictions he would pursue if elected to the White House.

It’s a question that has already tripped up one potential rival for the nomination. A day after sidestepping a question earlier this week, Republican Sen. Tim Scott said on Thursday that it should be up to states to “solve that problem on their own” — but also said he would sign a federal 20-week ban if it reached his desk.

Nor has DeSantis weighed in on the ongoing legal saga surrounding mifepristone, one of the drugs that has been used safely for more than 20 years to provide abortions via medication.

“Right now, DeSantis represents his state and he has to be the voice of his state, but this is a tightrope he has to walk if he’s serious about running for president,” Tarkanian, the Nevada Republican said. “A lot of people don’t even realize they’re pregnant at seven weeks and if you’re pro-choice that’s a scary thought.”

Katie Daniel, the state policy director for Susan B. Anthony Pro-Life America, said Republican candidates risk looking inauthentic if they try to obfuscate their position on abortion. She pointed to Pennsylvania Senate candidate and celebrity doctor Mehmet Oz, who during the GOP primary called abortion “murder” at any stage but in the general election said he supported exceptions for rape, incest or if the mother’s life is at risk. Later, in a debate, Oz said, “I want women, doctors, local political leaders” to decide the issue at the state level.

“Our message to candidates is define yourself or other candidates will define it for you and you’re not going to like their version of you,” Daniel said. “The ostrich strategy of burying your head in the sand is not going to work.”

​ Orange County Register 

Live updates from the 2023 Acura Grand Prix of Long Beach

• April 14, 2023

Live updates throughout the weekend from the 2022 Acura Grand Prix of Long Beach.

A Twitter List by InsideSoCalSpts

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​ Orange County Register 

Celebrating Earth Day at Disneyland Resort

• April 14, 2023

By Danielle Bautista

Happy Earth Month! What better way to celebrate this month than with a visit to Disneyland Resort? All month long, guests are invited to join in the fun activities and taste all the delicious food available throughout the resort. From mouth-watering dishes to photo opportunities with life-size elephant sculptures, there’s something for everyone to explore.

Good food that’s good for the environment

Did you know that choosing to eat more plant-based foods can help reduce greenhouse gas emissions? Delicious, plant-based staples can be found all throughout the resort, including at Café Orleans and Blue Bayou, which both offer a delectable plant-based crème brûlée. Over at Disney California Adventure park, Cocina Cucamonga Mexican Grill offers tasty Tacos Dorados de Papa. This year at the Disney California Adventure Food & Wine Festival, guests can try new and tasty plant-based dishes at festival marketplace kiosks. Now through April 25, Paradise Garden Grill is offering a fully plant-based menu that includes Bulgogi Fried Rice, Buffalo Mac & Cheese and more!

The plant-based Bulgogi Fried Rice dish offered at Paradise Garden Grill is a tasty favorite of the Disney California Adventure Food & Wine Festival.

Zero in on Zero Waste

As the resort looks to achieve zero waste to landfill by 2030, guests can do their part by properly disposing of their waste in the respective waste bins. Blue bins for recycling can be found all around the resort – some even have a funnel to empty leftover ice and liquids! By disposing of food scraps in green bins, you are helping to reduce the amount of waste going to landfills. Food scraps bins can be found at Hungry Bear Restaurant and Galactic Grill in Disneyland park and Pym Test Kitchen in Disney California Adventure park. Every little action to get waste in the proper place helps.

Reuse, Recycle, Create

Disneyland Resort cast members continue to inspire others by bringing their love of Disney and the environment together by designing unique artwork as part of the annual Environmental Art Challenge. In celebration of Earth Month and the Disney100 celebration, cast members were encouraged to create beautiful pieces of art utilizing waste found in their local work areas ranging from park maps, plastic bottles, bubble wrap and more. All month long, guests are invited to join in the fun and vote on their favorite cast-member-created piece at Stage 17 (located in the patio area near the Super Store featuring Avengers Campus) in Disney California Adventure park.

Simple Tips for Sustainability

Beat the heat and stay hydrated by bringing your reusable bottle! There are over a dozen bottle-filling stations between the theme parks, hotels and Downtown Disney District. Between drinking plenty of water and snacking, don’t forget to pick up your reusable bamboo utensils from any festival marketplace kiosk or most quick service restaurants such as Jolly Holiday Bakery, Red Rose Tavern, and Award Wieners. Lastly, when you’re buying the perfect Disney souvenir, choose a reusable bag over plastic. With four different designs and three sizes, you’ll be shopping till you drop – while saving the planet.

Celebrate Earth with National Geographic

Disneyland Resort and National Geographic are coming together in honor of Earth Month. In the Downtown Disney District, guests can capture photos with life-size elephant sculptures inspired by the new series “Secrets of Elephants.” In addition, on April 22 and 23, chef Kristen Kish from National Geographic’s “Restaurants at the End of the World,” will be hosting a cooking demonstration as part of the Disney California Adventure Food & Wine Festival.

While Disneyland Resort is celebrating Earth Month in April, we are committed to achieving environmental sustainability all year long.  From the solar panels soaking up the sun on Radiator Springs Racers to efforts around decreasing water usage across the resort, Disneyland Resort finds new ways to protect the environment and support a healthier planet. We invite you to join Disneyland Resort in building a brighter, more sustainable future – every simple action can make a difference.

​ Orange County Register 

Why do California’s progressives want to gut our direct democratic tools?

• April 14, 2023

In “Star Wars,” Princess Leia warned the Galactic Empire’s Death Star commander, “The more you tighten your grip, the more star systems will slip through your fingers.” The Progressive Empire of California, consisting of public employee unions, interest groups and politicians with liberal agendas, wants to prevent end runs to its rule in the Golden State.

Solidly in control of legislative authority, progressives are planning to thwart challenges to its grip on policy making by the business community and others by pushing Assembly Bill 421 to establish restrictive limits on the use of ballot referendums and some initiatives.

In 1911, direct democracy measures were instituted in California to offset the power of business, primarily, the Southern Pacific Railroad, to influence the state Legislature. More than a hundred years later, the script has flipped. The Legislature is now under the influence of a progressive alliance.

In response to legislative actions over the last decade, judged by members of the business community as both bad for business and bad for Californians well-being, business leaders mounted initiative and referendum campaigns to take their cases directly to the voters. Under California law, a referendum qualified for the next ballot freezes the new law until the voters have a say.

Results in recent referendum elections have been mixed. Voters sided with the referendum qualifiers to overturn a law to replace the money bail system but agreed with legislative action to ban single-use plastic bags and prohibit the sale of flavored tobacco products. On the initiative side, voters sided with companies such as Uber and Lyft to veto a measure forcing ride-sharing companies to recognize their independent contractors as employees.

More recently, a law authorizing creation of a council to set minimum wage and work standards for fast-food workers was frozen by a qualified referendum, as was a law that prohibits new oil and gas wells near homes, schools and hospitals. Both issues will be decided by voters in the November 2024 election.

Under the bill, an initiative attempting to cancel legislation that passed in the last two years must collect the more than half-a-million required signatures in 90 days, more quickly than the 180-day time limit usually afforded initiatives — an obvious shot at the success of the Uber and Lyft initiative. Referendums already must meet the 90-day standard. Collecting so many signatures in such a short time is a difficult and an expensive operation. To make it more difficult, the bill wants to put rules and restrictions on the signature gathering process.

AB 421 calls for paid signature gatherers to register with the California secretary of state. A signature gatherer would acquire an identification number that must be added to their petitions, wear an identification badge and take a course in the proper behavior for collecting petition signatures.

Perhaps a greater obstacle for referendum and initiative proponents is that the bill demands a minimum of 10% of the qualifying signatures be collected by unpaid signature gatherers. The procedural nightmares and paperwork delays of complying with these new rules in a short time frame are evident.

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The bill makes it clear the Progressive Empire will take care of its own. It gives a pass for all labor unions by declaring that union members shall be considered voluntary signature gatherers when needed to qualify initiatives and referendums.

The bill’s author, Assemblymember Isaac Bryan, argues that his goal is to bring transparency to the referendum process to stop a “well-powered set of interests that often undermine the collective will of the people of California.”

Isn’t the will of the people best expressed by the people themselves with a ballot?

The true goal of the progressives is to stop voters from disrupting the direction set by the Legislature and their powerful special interest friends. However, the idea of direct democracy is to allow voters to go around the state Legislature to prevent control of total, unchallenged political power — in other words, to slip through the fingers of unfettered rule.

Joel Fox is the former president of the Howard Jarvis Taxpayers Association and is an adjunct professor at Pepperdine University’s School of Public Policy.

​ Orange County Register 

Real estate news: Santa Ana office towers sell at a loss for $82 million

• April 14, 2023

A twin office tower campus in Santa Ana sold for $82 million, according to the venture that bought it, nearly 36% less than what the seller, Blackstone, paid for it nine years ago.

The 13-story Griffin Towers at 5 and 6 Hutton Centre Drive encompasses 560,000 square feet and was sold to Barker Pacific Group and Kingsbarn Realty Capital.

Blackstone bought the property for $129 million in 2014, according to CommercialObservor.com.

Newmark, which represented Blackstone, said the property in the Hutton Centre development underwent $8 million in upgrades in recent years, including a refreshed lobby, conference center, corridors, lobbies and bathrooms.

An office sales report from Cushman & Wakefield shows high interest rates are putting a damper on deal volume in Orange County.

Cushman’s report cited $401 million in office sales for 24 properties in the first quarter of the year compared with $285 million (16 properties) in late 2022 and $580 million (27 properties) in the first quarter of 2022.

“Although this quarter had a slight uptick in sales activity, the deal volume will remain at reduced levels until interest rates level out or trend down to a more stabilized level. In the current environment, the expectation between buyers and sellers is too wide and neither party can agree on a value,” the report states.

Griffin Towers was 68% leased at the time of sale, Newmark said. Key tenants include UKG, Michael Baker International, Tom Ferry International, Nations Direct Mortgage and HNBT.

Office properties across the U.S. are struggling after the pandemic sent millions to work from home. Hybrid schedules mean companies need less space, pushing down demand for commercial real estate.

“You have fundamentals under pressure from work from home at a time when lending is less available than [it has been] over the last decade,” said Rich Hill, head of real estate strategy at Cohen & Steers, told CNN. “Those two factors will lead to a pretty significant decline in valuations.”

READ MORE: US offices are half-empty. That could be the next big risk for banks

A 5-unit apartment building in Newport Beach sold for $3.6 million to Fahed Group Inc. The seller was Woods Family LP. (Courtesy of Cushman & Wakefield)

5 Newport Beach apartments sell for $3.6 million

A 5-unit apartment building in Newport Beach sold for $3.6 million or $720,000 per unit to Fahed Group Inc.

Cushman & Wakefield brokered the sale for the buyer and seller, the Woods Family LP.

The compound at 800-808 Amigos Way, completed in the 1970s, sits on not quite a third of an acre with two, two-story buildings. The apartments include two two-bed, 2.5-bathroom townhomes, two two-bedroom, 2-bathroom units, and a single one-bed, one-bathroom unit.

“The property… offers an excellent unit mix and range of floorplans, with spacious units that far exceed the average one- and two-bedroom square footage,” said Mark Bridge, managing director at the brokerage. “The property’s Class A location in Newport Beach is also near major retail, educational and employment opportunities for residents.”

2 Laguna Hills properties among portfolio purchase

George Urban Advisors, in partnership with Five Horizons Partners and DRA Advisors, bought a portfolio of seven industrial properties in Orange and Los Angeles counties, encompassing 45 buildings and 851,131 square feet.

George Urban Advisors, which declined to provide the purchase prices, will oversee property management.

The Orange County properties included:

The Row in Laguna Hills, a 25-building, 513,135-square-foot complex at 23251-23501 Avenida de la Carlota, 23452 – 23641 Ridge Route Drive and 23501 – 23562 Commerce Center Drive

Plaza Del Lago in Laguna Hills, a three-building, 100,812-square-foot complex at 23001 and 23015 Del Lago Drive and 23052 Lake Forest Drive

CBRE National Partners represented the seller. The buyer represented itself.

Pacific Life completes HQ renovation

Newport Beach-based Pacific Life has completed a top-to-bottom renovation of its 465,000-square-foot headquarters.

The design and architecture work was done by Hendy.

The refreshed space is now outfitted with “engagement zones,” breakout rooms and collaboration areas for employees. There also are spaces for staff who need privacy, the company said.

“As we look to further empower our employees and business, it’s important that our workplace offer the necessary design and resources,” said Sarah Balfour, workplace strategy manager at Pacific Life, in a statement. “Hendy’s design improvements showcase our prioritization of curating culture, relationship-building and collaboration.”

Hendy partnered with Howe Bonney & Associates, Howard Building Corp, tk1sc, Tangram, Steelcase, Allsteel, Corporate Business Interiors and Bentley Mills on the project.

Keith Labus at KTGY’s Irvine office has been appointed to the company’s board of directors. (Courtesy of KTGY)

On board

Keith Labus at KTGY’s Irvine office has been appointed to the company’s board of directors. He specializes in urban infill and mixed-use residential projects.

Real estate transactions, leases and new projects, industry hires, new ventures and upcoming events are compiled from press releases by contributing writer Karen Levin. Submit items and high-resolution photos via email to Business Editor Samantha Gowen at [email protected]. Please allow at least a week for publication. All items are subject to editing for clarity and length.

​ Orange County Register 

Ducks fire coach Dallas Eakins after 4 seasons

• April 14, 2023

IRVINE — Dallas Eakins is out after four seasons as Ducks coach with the official word coming down Friday morning, less than 12 hours after the completion of their regular season.

With the Ducks, who said they decided not to renew the coach’s contract, Eakins’ record was 100-147-44, which was punctuated by this season’s last-place finish in the NHL. They went 23-47-12 and went without a win for nearly a month down the stretch, dropping their final 13 games.

That late-season swoon helped secure the spot in the league’s cellar and the best odds (25.5%) of winning the draft lottery May 8. By finishing with the worst record in the league, the Ducks can drop no lower than third. The shiny prize, of course, is generational talent Connor Bedard of the Regina Pats.

But that finish and a slow start – 1-6-1 in their first eight games – created a feeling of inevitability that change would be coming after the Ducks failed to make the playoffs for the fifth consecutive season.

This was the first major move in what is expected to be an eventful offseason of change for the Ducks.

“We thank Dallas for his eight years with the organization as head coach of both the Ducks and Gulls,” said Ducks owner Henry Samueli said in a statement. “Susan and I are especially proud of his commitment to the community in both Anaheim and San Diego, which included countless charitable initiatives. We know Dallas will succeed in his future endeavors, as character people often do.”

Eakins was first hired by the organization as coach of the San Diego Gulls, starting in the 2015-16 season. He was named Ducks coach in June 2019.

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“This was a very difficult decision, one that comes after careful and considerable deliberation,” said Ducks General Manager Pat Verbeek said in a statement. “At the end of the day, I simply feel that a fresh perspective and new voice will be beneficial for the team. Dallas has handled himself with class and character through a difficult season, and we wish him the best in the future.”

There was no immediate word on the status of the rest of the coaching staff, but Verbeek was scheduled to hold a media availability later Friday morning in Irvine at Great Park.

More to come on this story

​ Orange County Register 

HOA Homefront: Solar for our whole HOA? Can mine be on common area roof?

• April 14, 2023

Q: We are a small HOA. We are debating going with a community solar contract vs. individual solar installation contracts and looking for information to help us with the pros and cons of each. Do you have any information or knowledge of an HOA that approved community-wide solar installation? Can you give us some insight as to the pros and cons of such an installation? — D.A., Poway

Q: I live in a recently constructed (small) condominium building, one of (several) in our complex. While I have individual rights to solar, it seems to make more sense to address the buildings’ shared energy costs, rather than my individual bill. There seems to be nothing in our bylaws to address this situation. What is required to proceed? I assume we need individuals to sign off on their rights and accept an overall assessment. My thought is to do one building first and share the savings with the overall HOA evenly. Other buildings would be added on a one-by-one basis to spread out the costs. — R.E., San Diego

A: Your HOAs may need to check with legal counsel because some CC&Rs limit capital expenditures without a membership vote and the cost may require membership approval as a special assessment.

It is also possible that a CC&R amendment could be necessary. Sharing of utilities sometimes reduces the economic incentive of conservation, since residents do not directly pay more if they use too much electricity.

I have seen this occur many times in associations that do not have individual water meters. You might investigate whether submetering would be possible to measure individual unit usage. I applaud your HOAs for considering such an upgrade to your complex but take care to consider and resolve any legal impediments from the CC&Rs before you proceed.

Q: If the HOA owns the roof, do I still have a right to build solar on it? The HOA manager said that solar panels are not allowed on association roofs and our CC&Rs say that the roofs among other things belong to the association. Civil Codes 714 and 4746 seem to imply, regardless of ownership, that a resident has the right to build solar on the roof over their head.  I would like to verify this is true before notifying my HOA of this in case I am reading it wrong. I would be interested in pursuing legal action in order to build solar if they continue to be obstinate after notification. —  K.C., Lake Forest.

A: Your manager is wrong. You do have the right under Civil Code Section 714(b)(1) to install a solar energy system on a common area roof over your personal residence, garage or carport. If for some reason your roof is shared (such as in a multi-story building) Civil Code Section 4746(b)b)(1) allows you to pay for and submit a “solar site survey” showing a proposed fair allocation of the usable portion of the shared roof. Although I have not yet seen shared roofs with enough space to make individual solar installations feasible, it is possible and the statute provides for it.

I hope you don’t need legal action.

Kelly G. Richardson, Esq. is a Fellow of the College of Community Association Lawyers and Partner of Richardson Ober LLP, a California law firm known for community association expertise. Submit column questions to [email protected]. Past columns at www.HOAHomefront.com.   All rights reserved®.

​ Orange County Register 

Orange County Power Authority rates ‘competitive,’ Irvine report says

• April 14, 2023

After four scathing audits lambasted the Orange County Power Authority’s management, pricing strategies and transparency, Irvine’s own review of the green power agency praised its rates as “competitive” and net income as “positive.”

The firm hired by Irvine to conduct the operational review of OCPA said it focused on “how the actual CCA (community choice aggregation) operates” versus “process and admin” like the other audits. And it found OCPA’s power purchasing practices are consistent with industry best practices.

OCPA has a higher opt-out rate (23%) compared to other green power agencies which typically have a rate between 5-10%, representatives from EES Consulting, the firm hired to do the audit, said.

The firm, which was contracted to do work for OCPA in 2020, blamed the discrepancy on the negative press attention the power agency has received.

But “opt-outs have settled down now,” said Councilmember Kathleen Treseder, a member of the OCPA board. She said the green power agency is “on a course of reform.”

In March, OCPA began an improvement plan which includes mandating a member of the Community Advisory Committee, made up of residents from the member cities appointed by board members, be present at oversight and board meetings as well as the hiring of a new position meant to ensure greater transparency.

The goal, Treseder said, is to complete the 24 steps outlined in the plan by June, including drafting bylaws, “something that was really highlighted as being urgent by different auditors,” she said.

Related links

Irvine to stick with Orange County Power Authority — for now
Orange County Power Authority circumvented policies in issuing $1.8 million in contracts, audit says
State senator calls for resignation of OCPA chief executive amid scathing audit
OC Power Authority transferring residents in 4 OC cities for new service starting Oct. 1

OCPA is hiring. The company is already bringing on a “power resources director with more than 22 years of experience” in the industry who will start this month and plans to announce additional new hires “in the near future,” OCPA said following the audit.

As for the audit, OCPA is “pleased that the consultant found no operational issues,” a spokesperson said.

When EES Consulting presented its report to the City Council on Tuesday, April 11, a resident noted the firm previously did work for OCPA with a $150,000 contract. EES Consulting representatives acknowledged the firm had done work with OCPA but said it had not been contracted with the agency in over a year.

Treseder said she appreciated the comparisons EES Consulting made in its report between OCPA and other community choice energy programs but was “concerned” that she did not previously know the firm had worked with OCPA.

“I just want to make sure that people are able to consider that as they’re assessing the report,” she said.

For Councilmember Larry Agran, already a staunch critic of OCPA who first called for the Irvine-led audit, it was a “troubling revelation.” He said the audit “fell short” of addressing Irvine’s concerns with the green power agency, namely mismanagement and transparency.

“OCPA is continuing to fail to deliver on what was promised initially (cheaper, greener energy) and, of course, has been lacking in transparency,” Agran said. “I’m determined to see Irvine extricate itself from this failed enterprise.”

The audit relied on interviews of consultancy firms that oversee OCPA’s power purchase agreements since documents provided by OCPA were heavily redacted for confidentiality purposes.

OCPA launched as a green alternative to Southern California Edison nearly one year ago, with Irvine spearheading its creation. Fullerton, Huntington Beach and Buena Park also were early joiners of the county’s first community choice energy program.

However, since its inception, the ratepayer-funded OCPA has been riddled with allegations of mismanagement.

And it has led to independent audits by the Orange County Grand Jury, a contractor hired by the county, an internal review by the county and, most recently, a state audit. The state audit found the CEO and staff did not follow their own procedures when executing power purchase agreements and improperly issued $1.8 million in marketing and financial services contracts.

Irvine has debated whether to stick with the Power Authority in the past, ultimately deciding against withdrawing. The council planned to revisit pulling Irvine out of OCPA in June but City Manager Oliver Chi said it is unlikely the city would leave before mid-2024.

“There’s certainly a desire from everyone on the council to continue being part of the organization if things are able to be advanced in a way that comports with their expectations at the agency,” Chi said.

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​ Orange County Register