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Six 25 Ft Lighted Gate Signs with LED Screens Proposed for the OC Fairgrounds - Costa Mesa Planning Commission to Decide on Mon Oct 14, 2019

Freestanding Signage

Example of proposed 25 ft gate signs with LED screens and lighting.

Contact OCFEC and the Costa Mesa Planning Commission to Put a Hold on This Project

Jason Jacobsen from OCFEC is in charge of the project. Ask him to withdraw the project from the Costa Mesa Planning Commission agenda. He can be reached at 714-625-2958 and [email protected]

OCFEC CEO Kathy Kramer can also withdraw the project from the Costa Mesa Planning Commission agenda. She can be reached at 714-708-1510 and [email protected]

Ask the Costa Mesa Planning Commission to place on hold Public Hearing 2 Zoning Application 19-23 for a Planned Signing Program for the Orange County Fair and Event Center Located at 88 Fair Drive because the project is being brought forward without the OC Fair Board having approved the plans, in addition to other problems with the project. You can email the Costa Mesa Planning Commission

Attend the Costa Mesa Planning Commission meeting on Monday, October 14, 2019, at 6:00 pm in Costa Mesa City Hall and ask the commissioners to place the project on hold.

About the Project

OC Fairgrounds (aka OCFEC) staff want the Costa Mesa Planning Commission to allow six new gate signs over two stories tall to be built along with three new lighted wall signs. Link to the Costa Mesa Planning Commission Agenda with all of the documents. New gate signs have LED screens, lights at the top, and include the City of Costa Mesa logo to deceive the public into believing the City of Costa Mesa owns, operates, or somehow manages the state owned OC Fairgrounds. These new signs are incompatible with the existing homes around OCFEC and will interfere with the quiet enjoyment of homes. 

Jason Jacobsen is in charge of the project and did not bring the plans dated January 2019 to the Board or public prior to pushing the item through to the Planning Commission. The public learned of this project when signs stating there was a planning commission hearing about an LED signage project popped up about 10 days ago at OCFEC. The first time the public saw the plans was when the Planning Commission agenda was posted on October 10, 2019. Neighbors have not received notification of the project and no outreach has been conducted. OCFEC staff continue to be indifferent to public input and needs of the neighbors.

It is unclear why new gate signage would be built when OCFEC is undergoing an infrastructure analysis in preparation for another attempt at a new master site plan and is in the midst of a rebranding effort. Any of these projects can change the need for gate signage and how that signage appears and is used. This project needs to be put on hold until other projects which may impact signage are completed. 

OCFEC staff made no attempt to fit into the Costa Mesa sign code except make the signs share the same hideous design in order to qualify as a "Planned Signing Program".  Here's the table from the Costa Mesa Planning Commission staff report detailing how out of line with city code this project is:

Staff Report Table 2

Staff Report Table 2 pt 2

 

The OC Fairgrounds is also known as the Orange County Fair and Event Center, OCFEC, 32nd District Agricultural Association, and 32nd DAA.

 


Traffic and Parking Issues at Forefront in Meeting with Costa Mesa City Council Member Marr

20190727_203805 (2)

Photo of Orange County Transportation Authority (OCTA) on a residential street in Mesa del Mar during the 2019 OC Fair. 

Friends and Neighbors of the OC Fairgrounds (FANSOCF) met with Costa Mesa City Council Member Andrea Marr to discuss how harmful impacts resulting from activities at the Orange County Fair and Event Center (OCFEC) on the neighborhoods around the OC Fairgrounds can be managed and reduced. Council Member Marr represents Costa Mesa District 3 the district where the OC Fairgrounds is located.

Issues about traffic and parking issues which cause nightly backups during the five week annual OC Fair were a primary concern. While OCFEC staff have acknowledged that the amount of traffic attempting to reach the OC Fair exceeds the capacity of the roadways leading to the property, OCFEC staff have not taken steps to make significant impacts on the problems. Neighbors in College Park, Mesa del Mar, and Monticello Community face five weeks each summer where traffic backups in their neighborhoods make travel difficult. Some residents leave on vacation rather than deal with the never ending problems.

A portion of the never ending traffic back up is due to a lack of OCFEC staff planning for offsite parking with shuttle service. The Experian parking structure located near South Coast Plaza is only used on weekends for OC Fair parking. The only offsite parking during the week is at Orange Coast College across from OCFEC with current overuse of the parking lots causing headaches for College Park residents.

FANSOCF is encouraged that Council Member Marr understands the issues faced by residents of her district and is willing to work with FANSOCF to gather information to work with OCFEC, City of Costa Mesa, Orange County Transportation Authority (OCTA) and other stakeholders to develop plans to reduce negative impacts on her constituents.


OC Fair Buses and Shuttles Must Stop Cutting Through Residential Neighborhoods

20190727_203805 (2)

OCTA buses and parking shuttles cutting through residential neighborhoods is not acceptable and must end.

On Saturday, July 27, 2019, OCTA OC Fair Express and parking shuttles were cutting thru Mesa del Mar. Two OCTA OC Fair Express and a parking shuttle were photographed on Junipero Dr passing a “No Parking” sign near TeWinkle Park. Traffic was backed up on Newport Blvd going into the OC Fairgrounds causing the 55 Fwy to back up to the Paularino Ave overpass. Buses and shuttles were diverting through residential neighborhoods to avoid the stopped traffic.

There are 47 weeks between the end of the 2019 OC Fair and the beginning of the 2020 OC Fair which can be used to make changes to reduce the traffic problems which crush neighborhoods during the fair.  Possible ways to reduce traffic impacts for the 2020 OC Fair include:

  • Increasing offsite parking with shuttle bus service. Shuttle bus lots can be in neighboring cities.
  • Routing OC Fair patrons to offsite parking lots with shuttle when parking lots on the Fairgrounds are filling up.
  • Ensuring the efficient use of adequate parking during periods of peak attendance.

There are a number of other possible changes which are not listed. What would you do to end buses and shuttles going to the OC Fair cutting through the residential neighborhoods?

Tell the OC Fairgrounds Executive Management and Fair Board to Stop the Buses Cutting Through Your Neighborhoods
OC Fairgrounds executive management and Fair Board claim they do not hear about problems caused by the OC Fair. You can invite Fair Board members to your neighborhood to show the problems experienced during the OC Fair. Share your problems and suggestions for fixing the problems:

Contact Fairgrounds Executive Management 
CEO Kathy Kramer [email protected]

VP of Operations Ken Karns [email protected]

 

Contact the Fair Board

Chair Robert Ruiz [email protected]

Vice Chair Sandra Cervantes [email protected]

Ashleigh Aitken [email protected]

Barbara Bagneris [email protected]

Doug La Belle [email protected]

Andreas Meyer [email protected]

Newton Pham [email protected]

Natalie Rubalcava-Garcia [email protected]
 

Contact OCTA Customer Relations to Lodge a Complaint About OCTA Buses Cutting Through Your Neighborhood
Call 714-636-7433 and choose from the menu (available weekdays from 8:00 am to 5:00 pm) or use the online complaint form. https://octa.net/About-OCTA/Who-We-Are/Contact-Us/Customer-Comment-Form/

Contact Your OCTA Board Member 
Costa Mesa is represented by OC Supervisor Michelle Steel.

Phone 714-834-3220

District Representative is Tim Whitacre [email protected]

 
The OC Fairgrounds is also known as the Orange County Fair and Event Center (OCFEC) and the 32nd District Agricultural Association (32nd DAA.)

How Is the 2019 OC Fair Impacting Your Neighborhood: Ask OC Fairgrounds Executive Management & Board for Help to Solve Problems

Bullhorn Meeting (1)
 
How did the first week of the 2019 OC Fair go for you and your neighbors? Some of what we have heard:
  • Traffic routing and road closures created headaches for Fairgrounds neighbors traveling to and from their homes because changes were made during the day. Neighbors found themselves stuck in the traffic they were trying to avoid.
  • Eastside Costa Mesa was parked bumper to bumper with cars left by people walking to the OC Fair. Trash was left in the neighborhood by the fairgoers.
  • Merrimac Way was used as a cut thru from Harbor Blvd.
  • Maxed out parking at the OC Fairgrounds and Orange Coast College (OCC) caused fairgoers to find other places to park. 
Are You Facing These Problems in Your Neighborhood During the 2019 OC Fair:
  • Are "No OC Fair Parking" signs and parking enforcement needed for your neighborhood? Where are the signs and enforcement needed?
  • Does your neighborhood need OC Fair Ambassadors to pick up trash? If there are OC Fair Ambassadors in your neighborhood, are more needed?
  • Do neighbors need to be given traffic routing maps including restricted turns and street closures? Should neighbors be told when traffic routing changes to plan for trips to and from their homes?
  • Should offsite parking with shuttle service be offered during the weekday evenings of the OC Fair? Hollywood Bowl and Ventura County Fair have been offering shuttle service during the weekdays for a number of years.
  • Is more weekend offsite parking with shuttle service needed?
  • Is there a better way for the OC Fair to let fairgoers know parking is maxed out other than signs on the 55 Fwy and Fairview Rd? How could fairgoers be told before getting to Fairview Rd that parking is maxed out? Where should fairgoers be routed to when parking is maxed out?
What is happening in your neighborhood and what can be done to resolve the problems? What are your ideas?
 
Ask for Help to Solve the Problems
CEO Kathy Kramer, VP of Operations Ken Karns and the OC Fair Board need to hear from you about problems experienced in the neighborhoods around the OC Fairgrounds. Please share your experiences with executive management and the OC Fair Board and include your ideas for solving the problems.
 
Executive Management
CEO Kathy Kramer [email protected]
 
VP of Operations Ken Karns [email protected]
 
Fair Board
Chair Robert Ruiz [email protected]

Vice Chair Sandra Cervantes [email protected]

Ashleigh Aitken [email protected]

Barbara Bagneris [email protected]

Doug La Belle [email protected]

Andreas Meyer [email protected]

Gerardo Mouet [email protected]

Newton Pham [email protected]

Natalie Rubalcava-Garcia [email protected]
 

You can copy [email protected] on the emails to help us track issues experienced in the neighborhoods and resolution of the issues.


Costa Mesa Neighborhoods Near OC Fairgrounds Need Neighborhood Policing & Reduced Use of OCC Parking Lots

Attention Question (1)
Neighborhoods near the OC Fairgrounds need relief from problems caused by growing OC Fair attendance and a push to have  year round daily use of the property.  Growth in year round use of the OC Fairgrounds has increased traffic, parking in the neighborhoods, and use of parking lots at Orange Coast College (OCC.)  
Problems once only experienced during the OC Fair are now year round problems for the neighbors.  

Steps can be taken to check the problems caused by increased use of the OC Fairgrounds include funding for neighborhood police services and reducing use of OCC parking lots by the OC Fairgrounds.

Fund Neighborhood Police Services in Addition to Traffic Control Services

Contracts between the Costa Mesa Police Department (CMPD) and the OC Fairgrounds provide traffic control services and do not include neighborhood police services to deal with parking, cut-through traffic, and problems caused by OC Fairgrounds patrons. Neighbors have reported difficulty in having CMPD respond to requests for service during the OC Fair. Read the contract between the OC Fairgrounds and City of Costa Mesa for police services. Download Costa Mesa Police Contracts

The OC Fairgrounds needs to fund CMPD services in the neighborhoods during the OC Fair and large year round events. CEO Kathy Kramer is pushing for increased year round use of the OC Fairgrounds, which will burden the neighborhoods even more. With annual revenues over $50 million with a profit of about $7 million (about 14%) and cash reserves are over $54 million, the OC Fairgrounds has the money to protect the neighborhoods from the problems caused by their operations and needs to step up to address issues caused by their operations.

Reduce Neighborhood Disruptions by Curtailing OC Fairgrounds Use of OCC Parking Lots

Parking lots at OCC are now being used year round for OC Fairgrounds events in addition to the five week OC Fair. OCC parking lots have becoming a defacto extension of the OC Fairgrounds parking lots. Events using the OCC parking lots during 2019 are:

  • Tet Festival on February 8, 9, 10
  • Musink on March 8, 9, 10
  • Pet Expo on April 26, 27, 28
  • OC Marathon on May 5
  • OC Night Market on May 17, 18, 19
  • Scottish Festival on May 25, 26
  • OC Night Market on June 14, 15, 16
  • OC Fair from July 12 to August 11
  • OC Night Market on August 23, 24, 25
  • Sand Sports Super Show on September 13, 14, 15

Read the contract between OCC and the OC Fairgrounds for year round use of the OCC parking lots. Download OCC Parking Contract

Use of OCC parking lots during the OC Fair and year round events disrupts the neighborhoods near the parking lots with noise from patrons coming and going carrying into the neighborhoods. Patrons leaving late at night may be intoxicated which has its own set of problems to deal with. Problems from the five week annual OC Fair are now occurring throughout the year.  CEO Kathy Kramer is pushing for growing attendance of the OC Fair and conducting events every day of the year which will grow the problems for the neighbors including increasing use of OCC parking lots.

Steps need to be taken to protect the neighbors from problems caused by ongoing use of OCC parking lots by the OC Fairgrounds:

  • Reduce use of OCC parking lots for year round event parking. Events at the OC Fairgrounds need to be parked at the OC Fairgrounds.

  • The OC Fairgrounds needs to pay for staff in OCC parking lots at the conclusion of events to move patrons out quickly and quietly.

  • Place DUI patrol in the OCC parking lots to deal with patrons who are too drunk to drive.

  • Create a way to have an immediate response to and resolution of a problem reported in the OCC parking lots. One point of contact to report, resolve and track problems at OCC parking lots caused by OC Fairgrounds events needs to be created. 

Contact the Fair Board

Chair Robert Ruiz [email protected]

Vice Chair Sandra Cervantes [email protected]

Ashleigh Aitken [email protected]

Barbara Bagneris [email protected]

Doug La Belle [email protected]

Andreas Meyer [email protected]

Gerardo Mouet [email protected]

Newton Pham [email protected]

Natalie Rubalcava-Garcia [email protected]

 

The OC Fairgrounds is also known as the 32nd District Agricultural Association, 32nd DAA, Orange County Fair and Event Center, and OCFEC.  

 


May 2019 OC Fairgrounds News: Construction to Worsen OC Fair Traffic and Parking, Getting Fair Share of Sales Tax Revenue & More

Check It Out (1)

In This Issue: 

  • Lack of Planning for 405 Freeway & OCC Construction Expected to Compound OC Fair Traffic & Parking Problems
  • Is a Fair Share of OC Fairgrounds Sales Tax Revenue Coming Back to Costa Mesa & OC?
  • Did the OC Fairgrounds Pass Up on a Share of $18 Million in Grant Money to Improve Emergency Readiness?
  • Over $129,000 of State Money Spent on Personally Motivated Investigations 
  • OC Fairgrounds Sent $75,000 to LGBT Opponent While Trying to Hide Behind Rainbow Flag

Lack of Planning for 405 & Freeway Construction Expected to Compound OC Fair Traffic & Parking Problems
OC Fairgrounds staff did not get ahead of problems arising from the demolition of the Fairview Rd bridge and construction at Orange Coast College. No plans are in place to have more parking lots with shuttle bus service or expanded OCTA Fair Express bus service. Expect traffic to be worse and more Fairgoers to attempt to park in Costa Mesa neighborhoods.

Is a Fair Share of OC Fairgrounds Sales Tax Revenue Coming Back to Costa Mesa & OC?
We started asking questions when we saw that sales tax revenue received by Costa Mesa from the OC Fairgrounds was flat since since 2004 despite OC Fairgrounds revenues nearly doubling since 2004. Sales tax revenue is a major source of funding for local governments. A new law enacted in 2018 makes it easier for sellers to report sales made at the OC Fairgrounds.  Preliminary numbers show an increase from the 2004 numbers and we continue to work on this issue.

Download 32nd DAA Historic Revenue Chart

Download Fairground Flat Sales Tax

 

Did the OC Fairgrounds Pass Up on a Share of $18 Million in Grant Money to Improve Emergency Readiness?
The OC Fairgrounds is a key part of the emergency readiness plans for Orange County and can be used as a shelter site for people and animals in addition to a staging site for emergency and rescue equipment. Gov. Newsom has made emergency readiness a priority and $18 million in from Proposition 68/SB 5 has been allocated to be used to improve emergency readiness infrastructure at fairgrounds. We are digging to find out if the OC Fairgrounds applied for a grant.

Over $129,000 of State Money Spent on Personally Motivated Investigations 
CEO Kathy Kramer targeted two Board Directors and the Chief Financial Officer for investigation for reasons which are unknown.  The bill has climbed to $129,270 with no end in sight.  If there are real problems to be investigated, law enforcement authorities such as the California Highway Patrol, Attorney General, State Auditor, Orange County Sheriff's Department, and other agencies should be brought in. The Fair Board has the legal authority to stop the investigations and has not stopped drain on the public coffers from the nefarious investigations. 

OC Fairgrounds Sent $75,000 to LGBT Opponent While Trying to Hide Behind Rainbow Flag
At its monthly meeting on May 23, 2019, the Fair Board voted to fly a Rainbow Flag over the Fairgrounds.  This despite the fact that the same Board has refused to order Fairgrounds CEO Kathy Kramer to cancel a sponsorship agreement she entered into with Vanguard University that has resulted in over $75,000 in public funds being transferred to the University.

Download Pride Resolution  

Download Contract 32nd DAA Vanguard

Vanguard University, which is affiliated with the Assemblies of God, takes a hard-line fundamentalist Christian position regarding homosexuality. Engaging in a even a chaste romantic same-sex relationship or publicly questioning any of the University's policies on homosexuality are grounds for expulsion.  The Orange County Fair and Event Center (a state agency) entered into a sponsorship agreement with Vanguard in 2018, but apparently did not include state required non-discrimination language in its contract. State law (Cal. Gov't. Code §11135-11139.8) prohibits the state from contracting with groups such as Vanguard University which discriminate.  

CEO Kramer has also given thousands of dollars in free OC Fair admission and concert tickets to Vanguard University in addition to allowing the school to rent OC Fairgrounds facilities on terms not available to the general public.

Did You Know?

  • OC Fairgrounds employees are not paid overtime. All hours worked are paid at the regular pay rate. Download Morales v. 22nd Dist. Agricultural Assn
  • Free admissions to the OC Fair are around 25% of the paid OC Fair admissions.
  • Fair Board Directors can buy an unlimited quantity of general admission OC Fair tickets for $1/each. Former Fair Board Directors receive a lifetime admission credential and can buy up to 30 general admission OC Fair tickets for $1/each. Download Board Director Tickets
  • Spouses and dependent children of current Fair Board Directors receive free admission credentials.
  • A Board Concierge who is a state employee arranges the dinners and concert tickets for Fair Board Directors, their friends, and business associates. Former Fair Board Directors can use the Board Concierge to book concert tickets.
  • CEO Kathy Kramer wants to raise admission prices for the 2020 OC Fair.

Contact the Fair Board
Chair Robert Ruiz [email protected]
Vice Chair Sandra Cervantes [email protected]
Ashleigh Aitken [email protected]
Barbara Bagneris [email protected]
Doug La Belle [email protected]
Andreas Meyer [email protected]
Gerardo Mouet [email protected]
Newton Pham [email protected]
Natalie Rubalcava-Garcia [email protected]

The OC Fairgrounds is also known as the 32nd District Agricultural Association, 32nd DAA, Orange County Fair and Event Center, and OCFEC.  


Let's Crowdsource: Tell Us How You Want to Use the OC Fairgrounds

Bullhorn Meeting

Your input for the OC Fairgrounds (aka Orange County Fair and Event Center or OCFEC) Master Site Plan is needed because the Master Site Plan process will start after the 2018 OC Fair closes in August and finish by the end of December 2018.  Two prior Master Site Plan proposals included converting OCFEC into a convention center (September 2017) and demolition of the Equestrian Center to create an RV park (April 2018).  The April 2018 proposal included $170 million in bonds for a series of projects with the nearly half a billion dollars in  debt payments on the bonds forcing OCFEC either into bankruptcy or to more than quadruple revenues to simply make the debt payments.  Only one meeting was allowed for Public input during these two proposals even though the Public owns the property.  

There has been a lack of participation by the Public and FANS of the OC Fairgrounds is providing a channel for Public input. 

 

Let's Crowdsource: Tell Us How You Want to Use the OC Fairgrounds (OCFEC)

Friends and Neighbors of the OC Fairgrounds (FANS of the OC Fairgrounds) is crowdsourcing how the OC Fairgrounds (OCFEC) can be used in the future to better serve the needs of the Public who own the property.  We want to know your vision of how the OC Fairgrounds (OCFEC) should be used in 5 years (2023), 10 years (2028) and 15 years (2033). Here are some questions to get your ideas going:

  • What works well and what needs to be improved?  
  • Are there activities which should be expanded or shrunk?
  • Are new activities needed and what are those activities?
  • How can the OC Fairgrounds (OCFEC) better serve the community?
  • The property is supposed to serve the needs of all of Orange County. What are those needs and how can those needs be addressed? 

Ideas which are submitted will be posted and the Public allowed to review and comment on the ideas. During the Master Site Plan process during late 2018, these ideas will be brought forward to show how the Public wants to use the OC Fairgrounds (OCFEC.)  Any member of the Public can submit ideas.  We ask that submissions be no longer than 6 US letter sized pages with all pages in PDF format. 

How to Submit Your Ideas

Email your submission as a PDF attachment to  [email protected] with the Subject Heading: Crowd Source Submission

Each Submission Needs a Cover Page

  1. Your name.
  2. The ZIP code in which you reside. (Anyone, who lives anywhere, can make a submission and it will be considered, this information is to allow us to determine the geographic effect of our outreach.)
  3. A contact phone number or email address at which you may be contacted if there are any questions about your submission.
  4. The following language: I am submitting the following proposal for use of the Orange County Fairgrounds and I agree that the 32nd District Agricultural Association of the State of California can use anything in this submission for the Orange County Fair and/or Fairgrounds.

Your cover page may include:
Any other statement or background information regarding your relationship to the Fairgrounds, the Fair, or your submission, that you wish to include. As discussed below, this statement will NOT be included in the portion of the submission that is made available for review to the public.

Submission Recommendations
Although there are no formal format or content requirements for your submission, we request that you:

  • Focus on USES, i.e., how you want to see the fairgrounds used, both for the annual Fair use (if any) and year-round use (if any)
  • Discussion of facilities, demolitions, modifications, upgrades, or additions should be tied to USES

Although not required, the following suggestions, may assist you in preparing your submission:

  • Include specific discussion of USES of current major Fairgrounds Facilities, the PacAmp, Centennial Farms, the Equestrian Center, Heroes Hall, the Action Sports Arena/Speedway, and the Ag-Barn facilities
  • If the envisioned uses will significantly increase the number of visitors to the Fairgrounds, you may wish to address, at least generally, impacts on and possible ways to address traffic, parking, and noise issues
  •  If you think it is helpful in understanding your submission, address, at least generally, operating costs for, or revenues from, the identified uses.

What Will Happen to My Submission
Approximately one week after it is submitted, your cover page will be removed from your submission and your submission will be assigned an ID number. All submissions, except those which would subject the Friends and Neighbors of the Orange County Fairgrounds to potential legal action, will then be made available to the public for review and comment.

Submissions will be available to review at Crowdsourcing the OC Fairgrounds Master Site Plan.
Comments regarding submissions (referencing the ID number) may be posted in the comments section of this post.


What Johnson Consulting Didn't Tell You About the OC Fairgrounds Master Site Plan Bond Financing Plans

A Master Site Plan proposal for the OC Fairgrounds (also called Orange County Fair and Event Center or OCFEC) created by a team of Johnson Consulting, HPI Architecture, and landscape architects SWA relies upon a $170 million bond issue to fund projects including doubling the size of the Administration Building, moving the Main Entrance about 200 ft closer to the 55 Freeway, demolishing the Equestrian Center, and reviving a parking garage next to a residential neighborhood cancelled in 2015 after loud neighborhood opposition, among other changes. The $170 million bond funding proposal was glossed over in two slides which are deficient in material facts, at the most charitable. As you consider these matters, remember that over a quarter of a million dollars has been paid to the consultants to create this work product in addition to countless hours of staff and Board Directors involved with the Master Site Plan process.

OCFEC was founded in 1949 by a grant of land from the former Santa Ana Army Air Base (SAAAB) for use as a public park, fairground, and recreation. Download the deed and most recent title report  

Since 1949, construction has been financed without going into debt. This has allowed OCFEC to weather economic problems better than other fairgrounds.  For unknown and unclear reasons, Johnson Consulting, HPI Architecture, and SWA propose a high priced set of projects of little real value which could bankrupt OCFEC or force a major change in operations while causing long term and irreversible harm to the surrounding residential neighborhoods. This process cost over a quarter of a million dollars in consultant fees, uncounted staff time, and took over a year to conduct.  More scrutiny is needed of what has transpired before the Master Site Plan process can move ahead. 

The two slides about bond finacing presented by Johnson Consulting, HPI Architecture and SWA follow and can be downloaded here  Download Financials_CHJC-OCFEC-Board-Presentation-April-2018

Balance Sheet Bond Slides_Board-Presentation-April-2018

Phases Bond Slides_Board-Presentation-April-2018

Bond Payments are Missing from the Financial Projections

The phased build out of the Master Site Plan proposal takes more than a decade and relies on $170 million in bond financing. No analysis of the impacts of bond financing or supporting information is presented in the April 2018 proposal. The hard consequences of the massive debt issue are ignored, at the most charitable. Payments for the bonds are missing from the financial projections prepared by the consultants.  Estimated payments on a one time capital infusion of $170 million at 6% is about $15 million per year for 30 years.  Johnson Consulting, HPI Architecture, and SWA slides show project phases being paid for and revenues generated by the phases but do not show the $15 million per year deduction needed to pay for the $170 million in bond debt.  

When asked about this during the April 2018 Board meeting, representatives from Johnson Consulting seemed surprised that this was an issue. 

 

Nearly Half a Billion Dollars Paid Out to Build What Amounts to Parking Lots

Interest more than doubles the $170 million bond to $450 million (30 years X $15 million/year = $450 million). Paying nearly half a billion dollars to build what amounts to a few more parking places is insane. This proposal was a non-starter and should have been shredded instead of being brought forward. 

 

Project Locked In & Cannot Be Changed Under Bond Financing

Bond financing locks in a project once the bonds are underwritten. The underwriting process sets the cash flows which must be obtained to maintain solvency and to meet debt covenants entered into as part of the bond underwriting process. It is difficult if not impossible to change a project once the bonds are sold. A future Board would face a high if not impossible hurdle to changing a project funded by bonds.  Representatives from Johnson Consulting did not mention this during the April 2018 Board meeting and it is not clear if OCFEC Directors understand that bond financing locks in a project. 

 

No Good Choices Come from $170 Million in Bonds: Bankrupt OCFEC or Quadruple Annual Revenues to Pay Debt Service 

Annual payments on the $170 million bond issue are $15 million per year for 30 years at 6%. Each and every year a $15 million check needs to be written to pay off the debt of building what amounts to parking lots. Current OCFEC operations have revenues of around $45 million per year and around 10% in net proceeds in 2017 which is about $4.5 million. How is that going to pencil out? 

Choose to Declare Bankruptcy: Once the $15 million annual debt payment starts, current reserves of about $45 million only last a few years until an over $10 million deficit occurs each year because the $4.5 million in annual net proceeds is not enough to pay the $15 million in debt payment.  At that point, OCFEC faces long term insolvency of their own making. A private company could declare bankruptcy to restructure the debt but it is not clear what happens to a state agency which becomes bankrupt caused by actions of the state agency.

Choose to Quadruple Annual Revenues to Avoid Bankruptcy: Quadrupling annual revenues from $45 million to about $180 million can produce annual net proceeds of $18 million, if everything goes just right. Annual revenues of $180 million pay the annual debt bill due but do not provide enough cash flow to re-build depleted cash reserves. Going to five (5) times annual revenues which is about $225 million per year allows debt to be paid and reserves to be re-built.

Achieving annual revenues of at least $180 million will bring heavy year round use of OCFEC such as that experienced by the residential neighborhoods during the annual OC Fair. Traffic will clog public streets, lights and noise will continue into the night every night of the year and it is unclear if the drive to book events for the sake of booking events will be kicked into hyperdrive to make more money to stay solvent. Who knows what events will be booked to make at least $180 million a year in revenues.

The current buildings may not be enough to bring in $180 million in annual revenues. New buildings may be needed to have more events to make the minimum required $180 million in annual revenue. New buildings will need new debt financing because OCFEC does not have significant reserves at this time because OCFEC is barely keeping up with what they owe. More debt needs more revenue and the debt death spiral of OCFEC becomes obvious. OCFEC destroys College Park, Mesa del Mar, and Vanguard neighborhoods along with themselves with self-created problems arising from their greed.

Johnson Consulting, HPI and SWA did not discuss the financially destructive nature of the proposal brought forward by their firms.  The Public is owed answers from Johnson Consulting, HPI and SWA regarding these matters. 

 

Bond Financing Proposal Shows Why Audits of Fairgrounds Operations are Needed

The April 2018 Master Site Plan should have never seen the light of day and was treated like a homework assignment that had to be handed in to be checked off in a grade book.  Consultants and staff handed in their homework and expected a star sticker in return but were met with well earbed negative responses and hard questions regarding the plans. Over a quarter of a million dollars has been paid to consultants who did not seem to notice that their proposal would offer OCFEC a choice between bankruptcy or destroying OCFEC along with the quality of life in the surrounding neighborhoods. Board Directors who wanted to press forward on the Master Site Plan process without having a workable, buildable plan which is supported by the Public in hand are not serving the interests of the Public who own OCFEC and whom the Directors represent.  

A Board Director who touts her financial credentials did not question the impact of the bond payments on OCFEC solvency and wanted to hurry the process along for the sake of moving things along. A Director such as this is not needed and may find themselves to be happier outside the scrutiny of the Public and with more free time to use as they choose. We thank you for your service and wish you well on your future endeavors. 

 

What Needs to Happen to Regain Public Trust
Work on the Master Site Plan needs to stop.  An audit of the Master Site Plan process is needed to find out where the money went, how two sets of Master Site Plan proposals which were not acceptable to the Public and destroy the nature of  OCFEC were brought forward and who could benefit from these proposal, among other questions to be answered. 

The Voice of OC has joined Director Nick Berardino in calling for a performance auditor to be hired at OCFEC to aid in staff oversight. Empowering a performance auditor is supported. Hiring a performance auditor is money well spent and needs to happen as soon as possible.

  

Contact Information to Follow Up on Issues

Contact the Fair Board 

Chair Barbara Bagneris [email protected]
Vice Chair Robert Ruiz [email protected]
Newton Pham [email protected]
Sandra Cervantes [email protected]
Stan Tkaczyk [email protected]
Doug La Belle [email protected]
Gerardo Mouet [email protected]
Ashleigh Aitken [email protected]
Nick Berardino [email protected]

Contact CEO Kathy Kramer [email protected]

Contact VP of Operations Ken Karns  [email protected]

Contact the Governor's Appointments Secretary Mona Pasquil Rogers at [email protected] to discuss OCFEC Director performance issues. Fair Board Directors are appointed by the Governor and may be removed for cause by the Governor at any time. (Cal. Food & Agriculture Code § 3959-3960.)

Contact Parent State Agency OCFEC is a state agency under the California Department of Food and Agriculture (CDFA)  because OCFEC is a state run county fair created to support California agriculture. Please refer to as OCFEC as the 32nd District Agricultural Association (32nd DAA) when dealing with the state.

CDFA Secretary Karen Ross 916-654-0433 [email protected]

Fairs and Exhibitions (F&E) are under the Marketing Services Division. 

F&E Branch Chief John Quiroz 916-900-5025 [email protected]


OC Fairgrounds Equestrian Center Demolition Proposed to Create 245 Space RV Park

The latest proposal for the OC Fairgrounds (Orange County Fair and Event Center or OCFEC) Master Site Plan shows the Equestrian Center being demolished and replaced with a 245 space RV park which can also be used as a 900 space parking lot. Demolishing the Equestrian Center eliminates the single largest agricultural use at a property which claims to have a mission of  "Celebration of Orange County's Communities, Interests, Agriculture and Heritage [. . . ]". Removing the Equestrian Center is unacceptable and must be taken off the table.

Board Directors (Ashleigh Aitken, Barbara Bagneris, Nick Berardino, Sandra Cervantes, Doug La Belle, Newton Pham, Robert Ruiz, Stan Tkaczyk) and Executive Management  have wasted over $250,000 in Public money on Master Site Plan proposals which do not take into account the needs and desires of the Public and are incompatible with the surrounding neighborhoods.  The time is now to rip up both the September 2017 and April 2018 Master Site Plan proposals and start over with a process which focusses on the needs and desires of the Public who own OCFEC and which includes the Public in the process at the same level of effort as the Board, Executive Management, contractors, and staff. 

View the entire proposal on the OCFEC website or see the two slides about the replacement Equestrian Center with an RV park and parking lot here:

Master Site Plan CHJC-OCFEC-Board-Presentation-April-2018

As a PDF:  Download Master Site Plan CHJC-OCFEC-Board-Presentation-April-2018

RVPark_CHJC-OCFEC-Board-Presentation-April

As a PDF:  Download RVPark_CHJC-OCFEC-Board-Presentation-April-2018-FINAL-DRAFT_040218

If you are already fed up, sign the petition asking to save the Equestrian Center and to start over with the Master Site Plan process which includes the Public in the process. 

Rip Up the 2 OC Fairgrounds Master Site Plans, Start Over with a Public-Friendly Process!

 

How Did This Happen?

In September 2017, a Master Site Plan proposal converting OCFEC to a convention center was presented. (See Board Workshop – Concept Presentation MSP files.)  The Equestrian Center was retained in the September 2017 Master Site Plan proposal. This proposal was helmed by VP of Business Development Ken Karns with Directors Doug La Belle and Robert Ruiz comprising the Master Site Plan Task Force overseeing the project. The Master Site Plan proposal was shown one (1) time in September 2017 and then whisked away to a backroom for changes to be made. Despite the Public begging for additional meetings to be held to allow the Public to have input into changes, Directors Doug La Belle and Robert Ruiz kept the process in the back room and refused to allow the Public to participate in decision making. During the same time, an Equestrian Center Task Force with Directors Ashleigh Aitken and Stan Tkaczyk and retired real estate investor Theresa Sears made statements which led many to believe that the Equestrian Center would be retained. 

 

Converting the Equestrian Center to Parking Creates Millions in Annual Revenue

245 Space RV Park is Sized for Year Round Use

The proposed RV park has 245 RV spaces with restrooms and showers and is across the street from TeWinkle Park, the Skate Park and Bark Park. At 245 spaces, the proposed RV park is in between than the 185 space RV park at  LA County Fairplex in Pomona, CA, operated by KOA, the 195 space Orangeland RV Park in Orange and Newport Dunes located on the Back Bay of Newport Beach, CA, with 382 RV spaces. The proposed RV park can be used year round for both camping by those working at OCFEC events or by members of the public desiring to park their RV in a coastal area.  A little research shows a daily rate of $50 per day is a comparable daily rental rate. A conservative projection of about $1.6 million in annual revenues is made as follows:

  • Total Spaces  245
  • Number of Available Days to Rent to the Public  270 (Remove June, July and August from the public rental schedule to the OC Fair)
  • Daily Rate $50.00 
  • Capacity 50%

Once the RV park is built, there is nothing preventing OCFEC from converting the area to year round use or engaging an operator such as KOA to manage the park.

 

RV Park Can Also be 900 Parking Spaces

The Master Site Plan includes using the former Equestrian Center area as a 900 space parking lot in addition to functioning as RV parking. Parking is a signficant source of OCFEC revenue with the 2018 budget showing $5,305,113 in total parking revenue as follows:

  • $2,758,813 in Fair Parking Revenue (line item 4370)
  • $94,700 in Vendor Hang Tag Parking (line item 4393)
  • $2,161,700 in Year-Round Event Parking Sales (line item 4710)
  • $268,900 in VIP Event Parking Revenue (line item 4711)
  • $21,000 in Preferred Parking (line item 4715)

Download the 2018 OCFEC Budget  Download 17_1108_2018_Budget_Roll-up_CapEx_DRAFT

A revenue projection can be made for a 900 space parking lot using a similar methodology as used for the RV park and shows a conservative estimate of about $1.2 million per year.  

  • Total Spaces  900
  • Number of Available Days to Rent to the Public  270 (Remove June, July and August from the public rental schedule to the OC Fair)
  • Daily Rate $10.00 
  • Capacity 50%

 

Safety of Arlington Drive & New Bike/Pedestrian Trail Jeopardized by New Parking Lot

Davis Elementary School, TeWinkle Park, Bark Park, Costa Mesa Tennis Center, and Volcom Skate Park are also located along Arlington Drive. Arlington Drive is a neighborhood street to be used to school, park and residential use, not for carrying 900 cars to park at $10 car to make $9,000 per day, at a minimum. It is not clear if Executive Management or the Board of Directors have noticed that Arlington Drive is not a major street designed to carry large amounts of vehicle traffic or heavy vehicles such as RVs and carnival equipment. A multipurpose trail for use by bicycles and pedestrians has been added to Arlington Drive in addition to the bioswale. Creating a 245 space RV park adds a minimum of 490 trips across the bike and pedestrian trail to fill and empty the RV park. Creating a 900 space parking lot adds a minimum of 1800 trips across the bike and pedestrian trail. Vehicle trips over the bicycle and pedestrian trail create safety problems with creating the conditions which can allow pedestrian and bicycle accidents to occur for the sole reason of making money.  Creating safety problems to make money is appalling and the proposed parking lots replacing the Equestrian Center must be removed.

 

April 2018 Master Site Plan Proposal is Yet Another Example of Lack of Accountability of OCFEC Directors & Executive Management

An ongoing lack of accountability exists at OCFEC which tars the Board, Executive Management. A recent example is the attempt to reduce the size of the Equestrian Center to store more shipping containers. While some have tried to portray these actions which involved expenditure of staff time and public money as a "misunderstanding", that is simply not the case. Decisions were made, plans were drafted, contractors were hired, money spent and staff time was used to perform these actions. Executive Management who were involved in these actions must be held publicly accountable.

Earlier in 2018, the Board was made aware of actions taken by the Board, Executive Management, and staff which have endangered safety, manipulated bids and financial records to achieve outcomes desired by staff, worked to evade legal settlements entered into by the Board which protect the neighborhoods around OCFEC, and have turned a blind eye to conflicts of interest, among other problems. It is not clear why the Board allows these problems to continue. No one has been held publicly accountable for these actions. 

The proposed demolition of the Equestrian Center in the April 2018 Master Site Plan proposal is yet another example of the lack of accountability. It is time for the Board to cease and desist aiding and abetting actions by Executive Management which are against the interests of the Public. New Executive Management is needed along with new Master Site Plan proposals.  The time is now for the Board to fix these problems. 

 

Rip Up the Master Site Proposals & Start Over

Over $250,000 of Public money has been wasted by the Board and Executive Management on Master Site Plan proposals which ignore the needs and desires of the Public who own the OCFEC property, are incompatible with the neighborhoods, and create safety problems.  There is money in the budget which can be used as seed money for a redo of the Master Site Plan. The $115,449 from the "PR/Manager Function" at line item 5475 in the 2018 Budget (posted above)  is the Public money used to pay for the Directors and their families and Executive Management to have catered premium buffets with grilled salmon with Florentine cream sauce; beef tenderloin sandwiches on brioche buns; bacon wrapped medallions of beef; sauteed citrus garlic buttered shrimp; swordfish; top sirloin steaks with crispy shallots; pepper crusted roasted tri tip; Portobello filet mignon with Danish bleu cheese sauce; carved rosemary and garlic stuffed prime rib; Tuscan T-bone steaks; pan roasted halibut; and tomahawk rib eye steaks among the fancy salads and desserts.  That $115,449 will make a downpayment on a new Master Site Plan. 

 

Contact Information to Follow Up on Issues

Contact the Fair Board Added May 3, 2018

Chair Barbara Bagneris [email protected]
Vice Chair Robert Ruiz [email protected]
Ashleigh Aitken [email protected]
Nick Berardino [email protected]
Sandra Cervantes [email protected]
Doug La Belle [email protected]
Gerardo Mouet [email protected]
Newton Pham [email protected]
Stan Tkaczyk [email protected]

Fair Board Directors are appointed by the Governor and may be removed for cause by the Governor at any time.  (Cal. Food & Agriculture Code § 3959-3960.) Contact the Governor's Appointments Secretary Mona Pasquil Rogers at [email protected] to discuss OCFEC Director performance  issues. 

Contact CEO Kathy Kramer [email protected]

Contact VP of Operations Ken Karns who is charge of the Master Site Plan [email protected]

Contact the Costa Mesa City Council to share your concerns regarding safety and traffic issues resulting from replacing the Equestrian Center with a large parking lot and/or RV park. 

Mayor Sandra Genis [email protected]

Mayor Pro Tem Allan Mansoor [email protected]

 

 

 


Parking Structure Shot Down in 2015 Arises Anew in Latest Fairgrounds Master Site Plan Proposal

WTF Nautical Flags (3)

The latest OC Fairgrounds (Orange County Fair and Event Center or OCFEC) Master Site Plan proposal (see page 38 and on “Phase VII - Other Projects” page 45) shows a parking structure and pedestrian bridge at the corner of Fairview Road and Arlington Drive and states that Orange Coast College (OCC) would be partnering on the project.  Representatives of OCC were contacted and multiple officials stated that they had no knowledge of the inclusion of the proposed parking structure in the Master Site Plan and OCC had not requested that the parking structure be included in the OCFEC Master Site Plan. OCFEC  Executive Management made the following statements regarding the proposed parking structure without consulting let alone obtaining an agreement from OCC: 

  • Partner with OCC 
  • Screened to lessen impact on neighbors
  • With elevators
  • Build West Tower at OCC
  • Build bridge over Fairview Dr to OCC
  • Parking garage assumed 3 stories @ +210 stalls per floor 
  • Footprint of parking garage removes -323 stalls of surface parking

CEO Kathy Kramer should recall that in 2015 a proposed parking structure on the same site was met with strong opposition by the College Park neighbors who would bear the brunt of the impacts from the project.  Current Board Directors Ashleigh Aitken, Barbara Bagneris, Nick Berardino, Doug La Belle, Gerardo Mouet, Robert Ruiz, and Stan Tkaczyk should also recall vocal neighborhood opposition to the project and suggestions that other solutions found such as building a parking garage (if one is needed) in the corner of Newport Blvd and Fair Dr below the billboards.  The parking structure proposed now in 2018 is the same unwanted parking structure proposed in 2015. If CEO Kathy Kramer and Directors Ashleigh Aitken, Barbara Bagneris, Nick Berardino, Sandra Cervantes, Doug La Belle, Gerardo Mouet, Robert Ruiz, and Stan Tkaczyk don't recall that the parking structure was unwanted in 2015 and aren't smart enough to figure out that the same parking structure is unwanted in 2018, none of them should be in charge of a public agency, allowed  to drive a car, or have sharp objects in their possession because there is something wrong with them. They may also eat paste, so lock that up.

If a Parking Structure is Needed, Put It Under the Billboards on Newport Blvd Side

If a parking structure is needed (and it is not sure if a parking structure is actually needed) the structure should be built at the corner of Newport Blvd and Fair Dr under the billboards. Building a parking structure at this location can be part of the relocation of the Main Entrance from Fair Dr to Newport Blvd. The new Main Entrance can be designed to speed up parking and move stacking of cars waiting to park from the public streets and onto OCFEC property.  This plan was previously proposed to the OCFEC and should be reconsidered:

Alt 2 Community Master Plan Executive May 17 (1) Alt 3 Community Master Plan Executive May 17 (1)

Alt 4 Community Master Plan Executive May 17 (1)

Alt 5 Community Master Plan Executive May 17 (1)

 CEO Kathy Kramer needs your help to be reminded that the parking garage at the corner of Fairview Rd and Arlington Dr is not wanted. [email protected]

VP of Operations Ken Karns who is in charge of the Master Site Plan  & the Fair Board Directors need to also hear from you on this matter.

Ken Karns [email protected]

Email Summer Angus and ask her to forward the email to the Directors [email protected]