Stemming from a private investigation into alleged corruption by
Supervisor Richard Scagliotti, a local business owner has
petitioned that the Board of Supervisors revoke a contract with San
Benito Tire for county vehicle maintenance.
Don Kelley, who owns Autoworks in Hollister, contends the county
contract with the local repair shop was unfairly awarded in August
2002. His lawyer Michael Pekin, who also represents the anonymous
group that commissioned the investigation, delivered the petition
to county administration Friday.
Stemming from a private investigation into alleged corruption by Supervisor Richard Scagliotti, a local business owner has petitioned that the Board of Supervisors revoke a contract with San Benito Tire for county vehicle maintenance.
Don Kelley, who owns Autoworks in Hollister, contends the county contract with the local repair shop was unfairly awarded in August 2002. His lawyer Michael Pekin, who also represents the anonymous group that commissioned the investigation, delivered the petition to county administration Friday.
The petition requests the Board consider revoking the San Benito Tire contract in a resolution at its Oct. 28 meeting.
County Counsel Karen Forcum addressed the issue in a press statement Monday:
“The agenda item submitted by Michael Pekin… is a bizarre continuation of the misguided attempts by Mr. Pekin to publicize unsubstantiated allegations about the Board of Supervisors, and to publicize unsubstantiated and damaging allegations about the work performed pursuant to the vehicle maintenance contract.”
The lengthy private investigative report, released one week ago, claims that Scagliotti’s political influence led to the county contracting its vehicle maintenance with San Benito Tire. It was one of six alleged cases of corruption on the part of the four-term supervisor.
Kelley’s petition asserts the current contract should go out for a re-bid to area businesses for two reasons: The service performed by San Benito Tire, while under a one-year contract starting in September 2000, was allegedly inadequate. And he believes Scagliotti maintained a political conflict of interest – because of a business relationship with San Benito Tire owner Bob Cain – when he motioned and voted for the most recent 36-month contract in August 2002.
During an interim period between those two contracts with San Benito Tire, the Sheriff’s Department took maintenance work for its 22-car fleet to Kelley, who claims the vehicles had been negligently repaired. The entire county fleet was 155 at the time of the contract approval.
“My biggest concern was that the cars were not reliable,” Kelley said. “There were numerous things we found.”
Cain, who has been in business here for 14 years, called the investigation’s allegations and the ensuing petition “totally crazy.” Kelley’s attempt to get the contract revoked from San Benito Tire, according to Cain, “is like a kid’s game.”
“The bid was an open bid to the public,” said Cain, who acknowledged being friends with Scagliotti. “Regardless of how Richard Scagliotti voted on it, I was the low bidder. If he made the mistake and voted, it was unanimous anyway. If his vote was the swing, then I guess we would have a problem.”
San Benito Tire was actually the second lowest bidder of four local businesses, according to Board meeting minutes from August 2002. Hollister Tire and Battery Service bid for one year at $54,800; San Benito Tire was at $59,300; Autoworks bid $76,100; and Tiffany Ford Mercury was at $92,900.
Kelley claims Cain’s business was wrongly awarded the contract – despite alleged rumblings about the adequacy of San Benito Tire’s service.
Asked if the service provided by San Benito Tire was defective, Sheriff Curtis Hill said: “I’m not going to comment on that. It’s not a Sheriff’s contract.”
Regarding the alleged conflict of interest, the investigation points out Cain had been negotiating with Scagliotti in 2002 to move his business to a property in the Albertson’s shopping center owned by Scagliotti. That deal subsequently fell through when Hollister’s state-ordered cease and desist order was enacted in May 2002 after a 15-million gallon sewer spill.
Scagliotti on Monday said the county awarded the contract to Cain based on a fair bidding process. And there was no conflict of interest, he said.
“I can prove that,” Scagliotti said. “There weren’t any contractual arrangements with Cain.”
It is still unclear whether the county will include such an item on Oct. 28. The contract includes a provision that allows termination with 30 days notice, according to Forcum’s statement.
Cain and Kelley both said on Monday they would show up to a Board meeting if the request to revoke the contract makes the agenda.
“What (Scagliotti) does politically is none of my business,” Cain said. “I’m getting ripped on this because they’re on a witch hunt for him.”
