Garofalo at a glance
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Here’s what we know so far. In all cases, Huntington Beach Mayor Dave
Garofalo has denied any wrongdoing and said he’s consistently followed
the advice of the city attorney regarding any potential conflicts of
interest.
* Garofalo’s company has had the no-bid contract to publish the
city-funded Huntington Beach Conference & Visitor’s Bureau annual guide
since 1993. The bureau pays nothing up front to Garofalo, but his
business keeps all the profits. The arrangement could a violate state law
that prohibits city employees from benefiting from city business.
* Garofalo’s company received a $2,995 advertising check from
Commercial Investment Management Group for an ad in the visitors guide,
and four months later he voted to push forward the Downtown developer’s
$46-million project. A CIM executive said Garofalo personally solicited
the ad. Garofalo said the check was immediately deposited into the
account of a company he doesn’t own.
* Garofalo voted at least 87 times on issues involving his advertisers
in either the Local News or the visitors guide. All 87 times he voted in
their favor. City Atty. Gail Hutton has advised Garofalo that he should
abstain from voting when his advertisers come before the council, which
excludes the mayor from voting on many, if not all, major issues. At the
last City Council meeting, he abstained from five of 24 votes due to
potential conflicts.
* Garofalo’s company has had the contract to publish the Chamber of
Commerce’s Business Directory since 1996, a year after he started his
first term as a Huntington Beach councilman. The chamber receives a fee
and copies of the directory, which includes a community overview. In
exchange, Garofalo’s business gets to keep all the profits from
advertising. Advertisers include Rainbow Disposal Co. Inc., which has an
exclusive trash contract with the city; Time Warner Communications, which
has the city’s exclusive cable franchise; and New Urban West, a developer
that’s building 53 homes next to the Bolsa Chica wetlands. There is some
debate as to whether Garofalo still holds the contract.
* Garofalo secured a home in the city’s new St. Augustine tract after
voting numerous times to approve various stages of the project. Garofalo
said he bought the home, using cash from a friend, for $565,000 and sold
it to that same friend for $635,596 three days later. Garofalo said he
made $1 on the deal after upgrades. Garofalo has refused to say whether
he competed in a lottery as other home buyers did.
* Contrary to Garofalo’s previous assertion to state officials that
his role in the visitors guide involved only “non-sales issues” -- such
as “mechanical and technical aspects of publishing” -- he personally sold
ads in the 2000 visitors guide. At least one advertiser said he gave
Garofalo cash on the spot for a partial payment.
* Hutton has said she plans to send information about Garofalo’s
alleged conflicts of interests to the Fair Political Practices
Commission. Her office will conduct an investigation of alleged
violations of a state law prohibiting public officials from profiting
from government contracts.
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