WS-PACE drops its suit, supports city’s appeal, goes before supervisors

The city of Patterson will appeal a Fresno Superior Court judge’s decision to dismiss its lawsuit against the proposed West Park industrial development, Mayor Becky Campo announced at Tuesday’s City Council meeting.

The decision was made by a 3-1 vote in closed session, Campo said, and came less than two weeks before the city’s deadline to appeal the January ruling.

The city’s lawsuit had been dismissed by Judge Tyler Tharpe, who ruled that the Stanislaus County Board of Supervisors did not — as the city had claimed — violate state law by moving forward with a proposal by PCCP West Park LLC for a 4,800-acre industrial park and inland port in and around the county-owned Crows Landing Air Facility.

Despite having already spent $275,000 on the case in this fiscal year, the council decided it was worth moving forward, partly because of a precedent set by the state Supreme Court in a similar case last year.

“We’re too far along to just throw in the towel and give it up,” Campo said. “Even though money was an issue, defending the potential impacts to Patterson was overriding, in my opinion.”

Ideally, the city would like to derail the project altogether. The sheer size of the project is a concern, as are air quality, traffic, increased population and increased rail traffic through the city.

Councilwoman Annette Smith voted in favor of the appeal.

“When the council took the action of suing, it wasn’t to test the water,” Smith said. “It was to go the distance and to achieve the mitigation that our community needs and deserves with regards to the rail portion of this project.”

Smith also noted that while pushing forward will cost the city more money, the appeal also represents the only chance of getting back any legal fees already paid.

Councilman Sam Cuellar cast the lone dissenting vote. He suggested allowing the project’s environmental impact review — which is ongoing — to be completed rather than spending more of the city’s money to pursue the case. Cuellar was part of the unanimous vote to sue the county and developer last year.

“I didn’t see we gained much even if we won the appeal,” Cuellar said. “At this point, we ought to just wait until the (environmental review) finishes up.”

Councilman Dominic Farinha cast the third vote for the appeal. Councilwoman Dejeune Shelton abstained because her employer, the nonprofit Great Valley Center, received a donation from West Park developer Gerry Kamilos in 2006.

County Counsel John P. Doering wrote in an e-mail to the Irrigator that the county attempted to reach out to the city after the original decision but received no cooperation.

“We can only surmise that the city has ulterior motives,” Doering said. “The city’s objective appears to be either to delay or stop the project, not to seek reasonable project improvements or modifications that help the residents of Patterson — or to secure bragging rights and attorney fees.”

While the city’s lawsuit against West Park moved forward, another suit was being withdrawn.

Opposition group WS-PACE.org announced it would not pursue its lawsuit against the county and West Park, which had been in a holding pattern since the city’s suit was dismissed.

WS-PACE.org President Ron Swift said in a statement that the group fully supports the city in its suit, which was joined last year by the Del Puerto Health Care District and others.

“We are pleased that the city and health district are moving forward,” Swift said. “WS-PACE.org has not ruled out future legal action in this matter. We hope that Stanislaus County planning processes concerning the West Park Crows Landing project will be open, transparent and legally compliant.”

Swift, meanwhile, went before the board of supervisors Tuesday to request that the county seek a surety bond or other guarantee that Kamilos has secured the estimated $35 million he has committed to pay for the county’s share of the cost of the inland port and short-haul rail.

One of the project’s primary financial backers, Lehman Brothers, filed for bankruptcy last year.

“In these difficult financial times, it seems reasonable that our county government assure itself that private funding is available for these rail and all other infrastructure improvements of the project,” Swift said. “Consider that far larger developers than Kamilos are failing.”

Supervisor Jim DeMartini, one of the project’s most vocal critics but often the only opposing voice on the board, sided with Swift.

“I think he’s right,” DeMartini said Wednesday. “We need some type of guarantee (Kamilos) has got this money.”

DeMartini said he expects the issue to show up on a board meeting agenda soon.

“I will just insist on it,” he said. “It’s something that needs to be done.”

John Saiz of the Irrigator contributed to this report.