Sunday, February 9, 2014

Bank in Dalager consulting scandal pulls out of Encinitas

California Community Bank, the bank that employed former Mayor Dan Dalager as an independent consultant to steer business to the bank, has closed its long-time branch in downtown Encinitas. The consulting relationship raised accusations of impropriety as Encinitans felt that the outcomes of their business with the city of Encinitas could be influenced by whether or not they helped Dalager earn commissions by opening accounts.



California Community Bank was acquired by Regents Bank in 2012. Following the closing of the downtown branch, Regents does not have a location anywhere in Encinitas.

Dalager was not prosecuted by District Attorney Bonnie Dumanis for the consulting role, or for a separate undisclosed loan from a resident who had business before the council. He was allowed to plead guilty to a no-jail misdemeanor on an unrelated charge of receiving discount kitchen appliances from another resident who had business before the council. Dumanis has been in the news recently for her own scandal.

36 comments:

  1. Dumanis and Dalager - birds of a feather. "What's in it for me?" The current motto of civic officials, it seems....

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  2. Dalager supported Jerome Stocks and Krisitin Gaspar----- Makes me think
    HUH!

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  3. At least they didn't cut down the Eucalyptus tree while they were there.

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  4. That tree is most likely the City's. Maybe the former bank building can become a rowdy bar. The new lessees could call it Wells Fargo and give it and Old West theme. We need another bar downtown, don't we?

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    1. Yeehaw....ride'em cowboy.

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    2. Definitely need more "beer tasting rooms" downtown. Cardiff can't monopoly the beer bars. Turn every bank into beer tasting rooms. Very classy.

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  5. Sorry, non-story on this one. Danny D isn't even down at CRC downtown anymore working off his community service.

    -Count Green Cape

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    1. So that's why he was there. Should have figured he wasn't that charitable a guy. Probably cooking up a new loan.....

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    2. Fact: Danny was seen selling used books at a local book store during his tenure at crc. You figure it out.

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    3. and was paid cash.

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    4. He got his pick of the donations, too.

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  6. Hey, ya know, I think everybody realizes that Dalager no longer works at the bank. The story is the successor to the bank where he had a history is closing and Dumanis, who didn't prosecute Dalager as described, is now embroiled in her own scandal.

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    1. Dumanis should investigate herself!

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  7. Let sick Lynn on her…. Lynn can rattle off more worthless shit that could fill a deposition for years…. with not one point of relevance.

    We should make Dan Dalagers punishment 200 hours of conversation with Lynn. By the 150th hour, Danny would be asking for his own death penalty.

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    1. "Danny?" Sounds like you run with his crowd.

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  8. Great location for a new restaurant and bar.

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    1. Eh, just skip the restaurant and go straight to the bar.

      After all, according to the Seaside Courier rag, "residents" want a "vibrant" downtown and the city is just trying to interfere with everyone's wishes. Guess the vibrancy is targeting Cardiff next.

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    2. Targeting Cardiff for vibrancy might be good. Maybe that will mean they'll stop picking on Leucadia.

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    3. Come on, "they" won't stop until the whole town is good an' vibrant! It is all about bringing in tax dollars to support the bulging pensions, isn't it? Let's not go losing sight of this main "strategic goal!"

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  9. California Community Bank loaned approximately 44% of the purchase price for the Boathouses Property to the Encinitas Preservation Association with Peder Norby, Paul Ecke III, and Doug Long (and others) on the Board of Directors. Paul Ecke signed the escrow documents.

    The remaining 56% came from the City, through in-lieu affordable housing fees, totaling more than $800,000. Already existing affordable housing wasn't "legalized" until 2012, not sure how close to the time the Community Bank changed ownership. Other than the two Boathouses, there were four affordable units before the purchase. Four affordable units remain.

    Moonlight Lofts affordable housing money went, in large part, to subsidize the Boathouse property deal, at about $631,000. Another $200,000 grant was from the City's accumulated in-lieu affordable housing fees, not associated with Moonlight Lofts. Later, Moonlight Lofts went bankrupt.

    I'm glad we preserved the Boathouses. The City should have bought the entire property for affordable housing, in my opinion. Then it could have six units, or Five units and a small museum, in one of the Boathouses, with a major or minor use permit. Or the property could have been rezoned public/semi-public. In any case, there would be a lease revenue stream, unlike the SDWD and the former Mossy Property current City Public Works Yard. Numerous lease revenue bonds have been used by our City to finance the Hall Property Park and improvements at Moonlight Beach, that have NO lease revenue stream.

    Lease Revenue Bonds WITHOUT lease revenue streams are a corruption of the law that allows public entities to bypass a public vote on General Obligation Bonds. We all know that banks have not always honored the public trust.

    Money isn't always the highest value. Dalager and Dumanis are birds of a feather. I hope people won't vote for Dumanis if she runs again.

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    1. You forgot to tell us Norby doesn't get a city pension....

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  10. I'm also glad the boat houses are preserved and without Peder Norby I doubt the push for that would have succeeded. I don't think the city is interested in becoming a property manager for low cost housing or any other for that matter, though I always thought their block long frontage on Vulcan Ave could make great store fronts across the street from a major transit center making them revenue instead of the concreted bluff with an extra driveway. But as someone pointed out, their not in the business of creating businesses.

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    1. The City has contracted with private property managers to manage affordable housing that it owns, on Vulcan.

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    2. Hunter Property Management is one firm that was on the consent calendar at a previous Council Meeting to do property management for the City. I recommended against using them, but Council voted for them, as per staff's recommendation, of course. My experience with them was that they were not honest with me, or other tenants.

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  11. The City already is a sort of property manager for low cost housing:

    http://www.ci.encinitas.ca.us/index.aspx?page=247

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  12. Don't think the city would have taken on that burden without being convinced it was the right thing to do - if that's the case. So let me rephrase that. Without Mr. Influence I doubt the boat houses would still be boat houses but refashioned cute shabby chic knick knacks at Queen Eileen's and Coast Hwy Traders.

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  13. As I said, good that the Boathouses were preserved. A private party could have bought them, after an appraisal, and could likewise have been subsidized, if the affordable housing was kept affordable, in perpetuity.

    Anyway, it's all speculation. Re the Boathouses, what's done is done. I'm glad we still have them. The Encinitas Preservation Association should not have allowed it's logo to be used, as a lobbyist. If the L101MA and the other Mainstreet Associations' and the EPA's logos and imagery were used without permission, then all of those city sponsors/subsidiaries should have SUED the Political Action Committee that wrongly used your logos. Otherwise, you are just being hypocrites. They all came out AGAINST Prop A, but tried to say, "we didn't give permission!" But NOTHING was done about it.

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  14. Lynn, get over PROP A you won didn't you.Your are poor winner and worse loser

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    1. At least I'm willing to own my opinions, by posting my name. You don't own your opinions, nor back them up with any facts. Therefore, your opinion of what I am is entirely irrelevant.

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    2. Not a name anyone values, even less the opinions.
      Oh btw, you forgot to tell us that Norby doesn't get a pension. Nor PE3, nor C Marvin for that matter. Hmmm, any other names I've forgotten???? I'm sure you'll fill us in again and again and again.

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    3. Friends of yours, 11:12? Hmmmm.

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    4. 1:17- not friends. I mention those names because it pisses off the director of the thought police. Oh btw, I don't get a pension either.

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  15. Come on, indulge the winners a little bit, won't you? After all, Buddy B. got to re-build his McDonalds and unless I'm Rip Van Winkle, I haven't noticed any city-wide elections held to vote on people building patios or doing kitchen remodels, as Gaspar warned we would.

    Tee hee.

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  16. Gaspar made a comment?? Now that's news!!!

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    1. She made an exception in this case - her handlers told her to!

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    2. Did she get a Revlon gift package for conditioned response reinforcement?

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