Award Homes and its new attorneys this week revised a lawsuit
against the City of Hollister
– renewing a contention to extend an expiring development
agreement while adding a new conspiracy charge that names a county
supervisor.
Attempting to construct a 677-home development
– the West of Fairview project – the Santa Clara firm is
fighting the city’s refusal to extend past a March 12 contract
expiration. Award Homes can’t build yet because the sewer
moratorium runs through October 2005.
Award Homes and its new attorneys this week revised a lawsuit against the City of Hollister – renewing a contention to extend an expiring development agreement while adding a new conspiracy charge that names a county supervisor.
Attempting to construct a 677-home development – the West of Fairview project – the Santa Clara firm is fighting the city’s refusal to extend past a March 12 contract expiration. Award Homes can’t build yet because the sewer moratorium runs through October 2005.
Award Homes recently changed attorneys. With the switch came the amended suit filed Jan. 12, along with its new charges.
Aside from trying to keep city-granted building allocations valid, the firm also seeks damages for alleged violations of constitutional rights and damages relating to the conspiracy charge.
Award Homes claims a portion of the building allocations, if the agreement is allowed to expire, would go to Supervisor Richard Scagliotti and his development firm – Taliaferro and Scagliotti.
It claims Council members conspired to quell the West of Fairview project so its allocations could then be granted to Scagliotti and other local developers.
“Say that again,” Mayor Tony Bruscia said while laughing. “I’ve heard of some crazy conspiracy theories, but that’s pretty good.”
Award Homes in May 2002 also sued the county’s Local Agency Formation Commission (LAFCO) – that suit is active – for refusing in 2001 to annex the land into Hollister. Scagliotti was a member of LAFCO.
Hollister’s head planner Bill Card said there are no active building allocations in Scagliotti’s name.
“I have no idea what they’re talking about,” Card said.
An Award Homes attorney, Robert Moore, didn’t elaborate on the charge – other than saying they maintain the building allocations would fall to Scagliotti.
“We would not allege a conspiracy unless we believe it is factually based,” Moore said.
Scagliotti refused to comment when reached on his cell phone this week.
City Attorney Elaine Cass said she was in the process of reviewing the complaint and declined further comment. Meanwhile, other Council members were also surprised by the charge when told this week.
“That’s news,” Councilman Tony LoBue said. “If they claim it, it’s their right to claim it’s a conspiracy. I can honestly say – for me, there’s no conspiracy.”
Hollister officials have been embattled in controversy since the development’s approval in October 2000. After the firm sued LAFCO, the city was penalized with the building moratorium in September 2002 – leaving Award Homes unable to construct the houses.
The two sides agreed several times to extend an initial expiration of October 2001. But Hollister thus far has not agreed beyond March.
Moore said Award Homes is open to further negotiations. Councilman Brian Conroy said the city is, too.
“We’re looking for a settlement equitable to both parties,” Conroy said.
This week’s amended suit does not include previous claims that Council members breached a confidentiality agreement by leaking information about closed door negotiations to the press.
Moore said that’s more appropriate as a separate “sanctions claim.”
“We have not given up on that,” he said.
