041119 Mayor's brother denies benefit from loan deal
 
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041119 Mayor's brother denies benefit from loan deal

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Mayor's brother denies benefit from loan deal

http://www.sbsun.com/Stories/0,1413,208~12588~2544602,00.html

11/19/04

SAN BERNARDINO - The mayor's brother, Mike Valles, countered charges of nepotism against his sister by denying Thursday that he had financial ties to a for-profit company seeking money from the city.

"I have never asked a member of the council for a vote for Totally Kids,' Valles said. "Other than the fact that (Totally Kids) bought my breakfast, I have not received a penny for advocating or lobbying on their behalf.'

Valles status with Totally Kids came out of as a debate over whether the city should set aside $250,000 to enable the for-profit to secure a $2million private loan to expand its facilities and quickly snowballed.

The loan guarantee will appear before the Economic Development Agency board for a vote Dec. 6.

The mayor's accusers, City Attorney James F. Penman and Councilwoman Wendy McCammack, said at a Monday council meeting that Mayor Judith Valles' support for the loan was based on her brother's status as a lobbyist for the center.

Totally Kids provides specialized nursing care for medically fragile children at its facility on Mountain View Avenue just across Interstate 10 from Loma Linda.

While the mayor doesn't have a vote, she has been the driving force behind the loan. Both she and her brother said he brought the needs of Totally Kids to her attention.

He also arranged a tour of the center for his sister.

"I'm dedicated to this community,' the 74-year-old man said. "Any time I see an opportunity, I do it without charge.'

His assertion did not calm the political waters.

Penman and McCammack again questioned the propriety of the loan guarantee Thursday. The mayor fired back, calling Penman "unethical' and saying that on Monday McCammack read from a script written by Penman.

Mayor Valles said, "I think sometimes he's unethical in his behavior, in his harassing, in his bullying of me as his supervisor. He's the one who's highly unethical.'

When told of Mike Valles' assertion, Penman said, "The situation presents a major ethical problem for the city, and the people of San Bernardino should not have been put in this situation.'

Of Mike Valles' denial of ties to Totally Kids, Penman said, "That's just about what I expected them to say.'

The city attorney, an elected official, answered all follow-up questions with "no comment.'

McCammack said she had no evidence Mike Valles was getting paid, adding, "Elected officials should at all times base their decisions on what's best for the city and not think about the betterment of a relative. ... That goes for whether the relative is paid by someone that comes before the city or is volunteering their time.'

Totally Kids did not return calls for comment.

Councilman Neil Derry, who supports the loan guarantee, criticized McCammack and Penman, accusing them of playing politics. The loan measure enjoys 5-2 backing on the council. The two opponents are McCammack and Councilwoman Susan Lien Longville.

"If evidence is produced, I will reconsider. But so far, it looks like the boy who cried wolf again,' Derry said.

Penman "makes accusation after accusation when the political season comes around, ' Derry said.

He added, "This is the kind of negative politics that damaged the reputation of the city for 20 years.'

Since Election Day, political watchers have speculated on who will run for mayor next year when Judith Valles' second term ends. She hasn't announced whether she will seek a third term. McCammack's name has circulated as a likely candidate.

Mayor Valles scoffed at the continued criticism.

"That's what Mr. Penman does,' she said. "He drops statements that he knows are false and gets headlines. That's his style. When he's mad at people, this is what he does.'

McCammack said that the script she read from on Monday was her own. "In no way did Jim Penman write anything.'

 
 
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