LOS CERRITOS
Winner of Fourteen LA Press Club Awards from 2012- 2017.
Serving Cerritos and ten other surrounding communities • October 23, 2020 • Vol 35, No. 9 • loscerritosnews.net
Conflicts of Interest are Rife Between Downey City Council Candidate and Former Downey Mayor BY BRIAN HEWS Hews Media Group-Cerritos News has learned that former Downey Mayor Mario Guerra sold a condominium he owned in the city, at a reduced price according to nearby comparable properties, to Eric Pierce, current Downey City Council candidate and editor of Downey’s local newspaper. The condominium is located at 8134 3rd St., just one block away from Downtown Downey at Firestone and Downey Ave., one of the busiest areas in the city. The area is so desirable that Guerra has occupied a large business office in the building on the corner of Firestone and
Downey for many years as does Assemblywoman Cristina Garcia. According to online documents, Guerra paid $559,000 in cash for the condominium in 2018, then sold to Pierce in August 2019 for $31,000 more at $590,000. Since Guerra owned the condominium for less than two years, the transaction was subject higher than normal short term capital gains tax. Adding the selling commission of 5%-9%, and 3.5% of the purchase price held by California’s Franchise Tax Board because it was not Guerra’s primary residence, along with other fees, Guerra’s likely lost money on the deal.
S&P Global Ratings Upgrades Central Basin Bonds and COP’s from ‘CCC’ to ‘B’
5% of $590,000 equates to $29,500; 3.5% of $590,000 equates to $20,650, total fees over $50,150 meaning Guerra lost $20,150 on the deal. The $590,000 selling price offered by Guerra, for the two bedroom, three bath 1,600 square foot property located at 3rd and La Riena - within walking distance of the iconic Portos’ Bakery - equated to $368 per square foot. A check of comparable sales on OCTitle.com in the area reveals that Guerra extended a very low purchase price to Pierce. At 9104 Florence, east of Lakewood Blvd. and nearly two miles from Downtown Downey, a 1,480 three bed, three bath
sold for nearly 5% more at $385 per square foot. Just one block away on the corner of Downey and 7th street, a one bedroom, one bath property sold for nearly 10% more at $404 per square foot. At 7640 Stewart and Gray Rd. is a property that sits in the middle of a residential neighborhood, nowhere near any retail shops, a two bed, two bath property sold for 12% more at $412 per square foot. And a condominium in the same complex sold for $390 per square foot, 6% more in 2018. The home loan Pierce secured is another indication that Pierce and Guerra cut a deal. Pierce applied for a FHA
See DOWNEY page 12
Charity on Wheels Offers Hope to the Homeless
Pay to Play? Downey City Council candidate Eric Pierce (top) and former Downey Mayor Mario Guerra. Guerra sold a condo he owned to Pierce for 12% less than a nearby comparable so Pierce could move into Downtown Downey.
Hawaiian Gardens Union Members Found Guilty of Financial Fraud, Suspended Four Years
BY BRIAN HEWS
BY BRIAN HEWS
Hews Media Group-Cerritos News has exclusively learned that, on the heels of the Central Basin Board working together - with the exception of John Oskoui - the elimination of high paid employees, hiring a new general manager, and hiring a new law firm, Central Basin will receive a credit upgrade from S&P Global Ratings on its senior-lien revenue certificates of participation and on the district's subordinate-lien series 2018A and 2018B refunding revenue bonds. S&P Global ratings was the preferred rating company for CB prior to Kevin Hunt’s hiring, when Hunt decided to add Moody’s to the ratings pool paying both companies $25,000 per year. In addition, S&P removed the ratings from CreditWatch with “developing implications” and issued a stable outlook. S&P raised its long-term rating from “CCC” to “B” on the senior-lien COP’s and raised the rating from “CCC” to “B” on the subordinate-lien refunding revenue bonds. The raised ratings is primarily based on the district board's continued progress towards approval and imposition of the standby charge, which will generate approximately $3.3 million in annual revenues.
In June of 2019, Hews Media GroupCerritos News obtained a written decision that placed Hawaiian Gardens AFCSME Local 3624, who’s president was Hawaiian Gardens resident Fred Licon, under receivership after allegations of serious financial fraud and administrative irregularities were levelled against Licon and others. Those accused were Licon, Frank Amaro, Armando Soto, Luis Polanco, Eric Leon, Claudia Raya-Ortiz, and Luis Gonzales. In imposing the receivership AFSCME stated, “In our opinion, an emergency situation exists in Hawaiian Gardens….the local is threatened, the funds and assets of the local is threatened, and the local is acting in violation of the International Constitution.” AFSCME President Lee Saunders placed 3624 under emergency receivership and named Field Services Director Kevin Brown as the administrator after the allegations surfaced. The June front page article related to the receivership was deemed “offensive and dirty” and Licon and his friends down at City Hall immediately resorted to lies, petty theft, defamation, and a
HELPING OUT is (l-r) Vera Gonzalez, Michelle Southall, Dolores Garcia at the Charity on Wheels food pantry. Michelle is the wife of Zach Southall, founder of the nonprofit which helps the homeless and hungry in Orange County.
BY LAURIE HANSON Motivated by faith and a firm commitment to rescue, restore and help Orange County homeless thrive, Charity on Wheels offers hope before and during the pandemic. “Hope for redemption plays a huge role in everything we do,” said Managing Director Zach Southall. He and his wife, Michelle, work at the nonprofit. “We just don’t believe anyone is beyond saving.” It is their goal to see every individual restored and thriving, but Southall knows restoration always begins with an individual’s willingness to change. “Not everyone is ready right now, but that doesn’t mean they won’t be ready in
See CENTRAL BASIN page 12
LB Financial donates $2,500 to Nixon ES for internet based program. See page 2.
Sheriff Villanueva blasts Supervisors and L.A. Times in an OP/ED. See page 4.
the future,” he said. “We’ve gotten people off the street and back on the road to self-reliance after just a few months. But we have also worked with people for years before they were ready to make change.” Charity on Wheels began providing resources to the homeless in 2012. Inspired by his faith in Jesus Christ, Southall began giving out food, toiletry items, and bicycles from the back of his truck on weekends, hence the name "Charity on Wheels". The ministry quickly grew into a partnership with the Salvation Army and the launch of two weekly gatherings which have been successfully ministering to the homeless for more than 7 years. Before Charity on Wheels, Southall
See CHARITY page 12
SoCalGas and Laundry Truck LA team up to help wash homeless' clothes. See page 5.
McCoy Rigby Arts offers primary musical theater class for ages 5-7 yrs. See page 8.
Metro to consider taking less homes for freeway widening in Downey. See page 15.
See UNION page 13
Make this scary rice crispy treat brain filled with mousse for Halloween. See page 15.