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Deena Winter: Council wrestles with conflicts of interest

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Wednesday, Jul 09, 2008 - 01:21:23 pm CDT

Lately, it seems the City Council can’t turn a corner without running into a potential conflict of interest.

Or an alleged conflict, anyway.

Debates over potential conflicts began early this year, when a mayoral committee proposed the city charter be revised to beef up the law governing conflicts of interest.

The proposal — which promoters are trying to get on the November ballot via petition drive — would have banned council members from having city contracts.

That proposal did not go over well with Republicans on the officially nonpartisan council, who instead passed alternative legislation that would allow council members to continue to get city contracts, but with new rules.

Then the mayor stepped into the debate, signing an executive order forbidding his directors and aides from contracting with the city.

Last month, the council passed legislation allowing itself to abstain from voting on issues when members have a real or perceived personal or financial conflict of interest.

At the same meeting, Council members Ken Svoboda and Robin Eschliman implied mayoral aide Jon Carlson had a conflict of interest because he owns an apartment building across the street from a condo redevelopment project they were being asked to approve.

And in the latest chapter in this ethics debate, Councilman Dan Marvin on Monday suggested Councilman Jon Camp should not vote on a redevelopment project in the Haymarket, where Camp owns eight buildings.

The council was debating a redevelopment project in which real estate developers Robert and Will Scott of WRK want to tear down a warehouse at Eighth and R and build a 130-room hotel.

Camp questioned the project itself, the use of tax increment financing for it, and the developers. He opposed the Scotts’ request for 100 guaranteed parking stalls in the Haymarket Garage (which is near his property) and criticized them for being tardy on another redevelopment project near the new northeast police station.

Later, when it was time to vote on the redevelopment project, Marvin reminded Camp he had been in the camp that accused Carlson of having a conflict because he owned property across the street from a redevelopment project.

And although Marvin disagreed with their assessment, he said Camp ought to be consistent and abstain from voting on the WRK project.

“Under that same principle, your properties are in the blighted area that includes this area,” Marvin said.

“I’m not so sure if you should partake in this conversation about whether we should or shouldn’t approve this, given the fact that your properties are in that blighted area.”

Camp questioned whether Marvin was saying he shouldn’t vote on any project in a blighted area that extends all the way through downtown to the Antelope Valley Project.

“You definitely fall into many of the same circumstances that Mr. Carlson fell into,” Marvin said.

Camp said there are differences: He said his property is a block or two from the proposed hotel, and, he said because he was questioning whether WRK’s project should receive public assistance, he was working against his own interest.

But to avoid the appearance of impropriety, he said he would abstain from voting on the project, which then passed unanimously.

Which begs the question: Will Camp now abstain from voting on future redevelopment projects in and near the Haymarket, including the big ones — a proposed arena, conference center and hotels?

As Marvin said later, “He clearly has millions of dollars invested in the Haymarket.”

For her part, Council Chairwoman Eschliman said the whole conflict discussion was getting out of hand.

“The whole thing can and has been blown completely out of proportion,” she said.

Delving into the details

A few nuggets from nearly four hours of budget meetings Tuesday, as the council digs into the mayor’s budget proposal:

* Public works will try to get back two of the six engineering specialists lost to budget cuts last year. That should be interesting.

The department says the lost employees created a backlog of work from reviews to inspections that must be done, and they are now paying more to hire contractors to do the work.

* The council delved deep into the StarTran bus budget, as is becoming customary. It discussed pros and cons of raising the price of Ride for Five low-income bus passes from $5 to $7 to $10, or creating one flat fee for bus rides (which doesn’t appear feasible).

* The proposed StarTran budget doesn’t including funding for the annual Holiday Lights Tour and its overtime costs.

* Grousing about all of the federal mandates that kept chopping off budget-cutting ideas at the knees, Svoboda wondered aloud whether StarTran’s federal money is worth all the strings attached.

Svoboda was rebuffed by federal mandates at every turn Tuesday, when he asked whether the streets have to be swept every year; whether the bus system could have one flat rate and whether the water department has to send customers an annual water quality report.

* Councilman Doug Emery said it may be time to concentrate bus service in the city core, as other council members have suggested in the past.

* The council signaled it may cut the budget’s proposed 4 percent water and wastewater rate increases by 1 percent.

* The budget ends funding for two of the city’s six recreation centers: The Auld rec center would become a community rental facility; Easterday rec center would become a senior center.

Smoking cigarettes and drinking Mountain Dew

Sounds like a country western song, doesn’t it?

Councilman Jon Camp brought up cigarette-smokers and Dew-drinkers while talking about the StarTran budget Tuesday.

Say what?

It came up while he was suggesting the city might want to sell Ride for Five bus passes as six-month passes, rather than monthly passes.

Some may claim that would get too expensive for low-income riders. Camp said he empathizes with unemployed people, but also hears about “people standing there smoking” $5 packs of cigarettes and “drinking Mountain Dew” while waiting for the bus.

P.S. Could you not cover up the bus windows?

Again with the buses: Camp also asked public works officials if they would stop putting advertisements over the StarTran bus windows for two reasons:

* So if someone is getting mugged on the bus, people could see.

* “So people can see if people are really riding the bus.”

Ride for 10? Motel 60?

Svoboda admitted potential new rates may not “roll off your tongue” as well as Ride for Five.

But, Camp chimed in, “It’s not like Motel 6 is six bucks anymore.”

He said it

“This kind of feels like a shotgun wedding …  and I haven’t even been on a date yet with the county commission.” — Councilman Dan Marvin, on being forced to vote on a resolution signaling the city’s interest in helping the county pay for a new jail to get a better financing package.

Reach Deena Winter at 473-2642 or dwinter@journalstar.com.


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Out of hand wrote on July 9, 2008 5:32 am:
" This may be the first time I've agreed with anything Robin says. This is ridiculous. A conflict of interest should not arise just because you have personal information about something. Important knowledge comes from owning property and/or living or working in an area. Are the only people allowed to vote on something the ones with the least knowledge, and therefore the most "objective?" My guess is that Jon Camp's phone rang off the hook from existing business owners wanting to know why someone was getting a great deal. Get real. True conflicts of interest occur behind the scenes and under the table. Those guys don't run for public office. It might disclose their dealings. "

i agree wrote on July 9, 2008 7:39 am:
" they should have to uncover the windows. That's probably the reason that they covered the windows, to cover the fact that there is not anyone on the bus. And as far as the cigarettes go, I work in the Gold's building and I can attest that most of the people that are at the bus stops here are smoking... "

Juicy wrote on July 9, 2008 7:50 am:
" Regarding the StarTran situation...

I think it is time for City Hall to get creative and do some research into Federal grant money to offset increasing costs for public transportation. Areas to concentrate on include:

Mass Transit - Environmental Grants (mass transit reduces the laughable carbon footprint scam that Washington is buying into). If natural gas is used for fuel, you get bonus points.

Americans with Disabilities Grants - StarTran allows those with limited mobility to gain independence with a transportation system that provides them with needed transit.

Office on Aging - mass transit systems provide mobility and freedom for seniors who are unable to drive.

In Lincoln, a vehicle is needed to get around town. We do not have an abundance of taxis or rails that can access most areas around town, and the bus service may be scaled back further due to operating expenses. This may be a good way for the city to justify grant money for the StarTran system here; to have Federal grant money subsidize it. If the Mayor and Council were to work with our U.S. Representative and U.S. Senator, we may be able to get relief in fiscal year (FY) 2009. "

Trailer Trash people of the world Unite wrote on July 9, 2008 8:11 am:
" It sounds like Jon Camp wants to stop us from drinkin our Dew and smoking our generic cigs. Boo! I may be from the trailer, but I've got rights too! "

russell wrote on July 9, 2008 8:18 am:
" The statements about 'last year's 6 lost engineering specialists is creating a backlog of inspections and reviews' is interesting. DO NOT HIRE outside contractors which cost more in taxes. Put the jobs in a list and it gets done when it gets done. Someday the tax cutters will realize that they are not reducing taxes, they are reducing services that they need. More evidence that Growth does not pay itself. "

Devils Advocate wrote on July 9, 2008 8:29 am:
" Deena has done a fair amount of work on this, and I commend her on this. I think the LJS and Deena should do more work finding out exactly what the interests are of all the city council members.
It has also become apparent that Jon Camp can't seem to go a day without having a major conflict of interest. If there's any reason we need ethics rules - it's on Camp alone. How is it that Jon Camp sits on the Public Building Commission, which has many properties throughout the city/county - and has Urban Development in his downtown building? Why would Urban Development be in a private building when we have public buildings? Southeast Lincoln needs to team up and find someone who can be a fiscal conservative without a log in their eye. "

CS wrote on July 9, 2008 8:33 am:
" So you think that the fact that Jon Camp owns millions of dollars in real estate in the Haymarket and is on City Council isn't a potential conflict? Wow, I really should get into real estate. RE the bus system, yes, please, let us once again alienate the rest of Lincoln by forcing everyone to acknowledge the existence of the mighty downtown. Lincoln is never going to overcome is classist attitude because it starts at the top. No widening of 27th street or 48th because a few people live there-this is one of the few reasons Imminent Domain was created. You only own the land partway up to the street anyway. Can't extend the bus hours, must shrink routes, only poor people ride busses, no bike racks, but we'll complain about lack of ridership. "

David wrote on July 9, 2008 8:59 am:
" Just what does "concentrate bus service in the city's core" mean? I really think you need bus service all over town to get people into the "core". My new bus route is completely full in the mornings. No kidding, standing room only. "

Star Tran wrote on July 9, 2008 9:00 am:
" Is the single biggest waste of tax money collected by the City. Everyday I get behind busses (downtown) that have a maximum of 5 people in them. What a waste. "

Dan wrote on July 9, 2008 9:37 am:
" I am employed with a municipality comparable to Lincoln (slightly larger) and am very familiar with "conflict of interest" recusals. In most cities, city council members are subject to a 500 or 1000 ft. conflict of interest zone that exists abutting their personal residence and/or any property with which they have a financial interest. This can get messy if a Council person owns multiple properties and/or has a vested financial interest in multiple properties or neighborhoods, but it is one of the best methods that can be employed so as to avoid the city being sued by a developer, contractor, etc. who feels that they are being made subject to a "takings" courtesy of a discretionary decision made by a City Council member who may be biased. This all being said, while it is unfortunate that Mr. Camp has such close financial ties to the Haymarket area, he should subsequently not be allowed to vote on any of these items as he stands to benefit secondarily from the resultant outcomes. He is putting the City at risk with every vote he casts, and when someone when a developer finally sues the City because of this obviously biased activity, what tune will be sung then? "

Ugly Ugly Ugly wrote on July 9, 2008 9:47 am:
" Mr Camp is OK. Some of the others on the council should be so kind. "

Sss wrote on July 9, 2008 10:29 am:
" Concentrating the bus service to the central core makes no sense, I don't work in the central core along with many others who might consider taking the bus but can't take a bus to get to their destination without having to transfer at least twice. If there were bike racks, a person, such as myself could ride to a stop not requiring a transfer, or only transfer once. And not everyone works a 8-5 job, if one can't catch a bus early enough to make it to work on time, or late enough to have a bus home, what's the point. Lincoln is not a town easily traveled via public transportation, and until public transportation options improve we are forced to drive our cars and revenue will not increase. "

My investment dollars wrote on July 9, 2008 10:53 am:
" I have already set aside my $15 it will cost me per year to invest in Lincoln through the proposed 1 cent tax hike. Really, it wasn't so painful. A good investment in my fellow citizens and community. Either way, I don't plan on spending that money. If the city council shoots down the proposal I'll give the money to a charity instead - whose money may or may not be used here in Lincoln. Actually, it would be even less painful for me. I'll use the $12 I annually give to the "Lincoln Cares" program for parks that I add to my LES bill. If wise city leaders can't see past the next election day and don't see the necessity of keeping Lincoln strong, who am I to argue? I'll blindly follow their lead. "

To CS wrote on July 9, 2008 10:59 am:
" Yes, I think there is the potential for a conflict with Jon Camp, but the information is there for you do know about. What about the people who own millions who deal behind the scenes and are really the influential people in Lincoln? My comments would pertain to other situations, such as Jon Carlson's. Should we bring someone in who owns an acreage outside of town to help with issues in Near South because he/she wouldn't have a potential conflict of interest? Too many decisions in Lincoln (most, in fact) are made without input (or by ignoring input) from the people who will be affected. The term is "eminent domain" although in Lincoln it may actually be imminent for those without the political influence. And, I do agree that something needs to be done about public transportation other than eliminate it, and not widening 27th & 48th Sts were mistakes that probably now cannot be undone without a high cost that Lincoln would not want to pay. "

Bus Service wrote on July 9, 2008 12:19 pm:
" I agree -- public transportation in Lincoln is lacking. Now, with gas prices so high, is the time to expand the service, not reduce it. Then more people would probably start using it. "

Doug Emery wrote on July 9, 2008 1:01 pm:
" The core means that you decide you will not go north of Superior, East of 70th, South of Pioneers or West of NW 48th. (You could make them whatever everyone can agree on) If you want bus service and live outside that area you would drive to a parking spot and catch the bus. Simply no need to run buses ouside the core as there are few riders from the newly developed area of town. If you have a limited budget then why not use it where the majority of the riders are to make that better rather than spend money to go to new areas that are not utilizing the bus. This would allow people who need the bus to know their bus inside the core would be there for them. It would also allow for fixed route that people could count on. "

couple things wrote on July 9, 2008 1:07 pm:
" 1st, who said the Mountain Dew drinking smoker was a ride for 5 client, maybe they pay full fare. 2nd, at a time when energy costs are so high and we must reduce our dependency on foreign oil, we should all be taking the bus and our city should be doing everything it can to increase ridership. "

Nanh wrote on July 9, 2008 1:50 pm:
" Impact Fees that help pay for development are 1/4 to a 1/3 of what many other communities have in place. Good public policy would say raise impact fees so that short term development profits are balanced against long term infrastructure costs. "

David wrote on July 9, 2008 2:16 pm:
" Ok Doug, I don't want my bus to go south of Pine Lake Rd. "

Doug Emery wrote on July 9, 2008 7:30 pm:
" Actually David, I think ridership numbers can establish the "core". If you live outside the core you would have to walk or drive to a pickup point in the core. If you do not do something like this you will continue to waste money on buses going into areas where ridership is not nor will not be high in the near future. I have worked in other cities that had park and ride lots because they transit system just could not afford to expand "

mayor gets a c wrote on July 15, 2008 10:04 am:
" I would say that he is doing a better job than the last 3 mayors including Lincoln’s worst mayor, Johanns. As a young property owner who pays taxes, smokes and drinks Mt. Dew I will be voting for an arena so long as it doesn’t include a convention center. My vote also hinges on the Mayor coming up with a plan to keep our public safety fully funded and our existing infrastructure needs covered. If this includes raising my taxes, so be it. Things cost more money than what they cost ten years ago and we should have to expect to pay more. Shoot, name one thing that cost less? I am very interested in the city moving away from property taxes and going to the income tax like Mark Koller proposed in this paper. Reasons for this are; move away from the fat hog known as LPS, and would distribute the bill to all people who use city services. Including county residents. "

Actual Bus Rider wrote on July 15, 2008 10:27 am:
" I must ride the bus because I made bad choices and got a DUI. I picked up smoking to fit in at AA, and I can't drink alcohol on probation, so Mt Dew is my only choice...sorry Mr. Councilman Sir. "

Its good to be involved wrote on July 16, 2008 8:42 am:
" You do know something about what you might be voting on. I disagree with Robin that this is getting out of hand however, it is just getting good. Camp has been questionable for such a long time. The important part of this issue was never the lawncare contract where it started, but we are just seeing the important part. I suspect when you take away the personal benefits from being on the city council and making public policy, Camp will find another public office or retire from politics. "