In this file photo, former Planning Director Rob Mendiola and former supervisors Richard Scagliotti and the late Bob Cruz watch the September 2002 regional water board meeting where a $1.2 million fine was imposed on the city as well as a moratorium forbi

District Attorney Candice Hooper said Thursday that law
enforcement would have to conduct any potential investigation in
the aftermath of testimony alleging former Supervisor Bob Cruz
solicited $170,000 in exchange for his support on a senior housing
project in 2002.
District Attorney Candice Hooper said Thursday that law enforcement would have to conduct any potential investigation in the aftermath of testimony alleging former Supervisor Bob Cruz solicited $170,000 in exchange for his support on a senior housing project in 2002.

“Law enforcement does the investigation – they submit the report to us,” Hooper said. “I deal in facts … I don’t deal in innuendo, rumors and hearsay.”

When a Free Lance reporter noted that the testimony’s occurrence isn’t a rumor, Hooper reiterated her stance that law enforcement conducts investigations. Asked whether her office has the authority to conduct such a probe, she responded: “We do not have the staff to initiate investigations.”

Sheriff Curtis Hill on Thursday said if any investigation occurs that there’s protocol authorities would need to sort out.

“That thing (the Scagliotti suit) has been going on for so long, I wouldn’t even have a clue as to the context in which it was asked,” Hill said.

Hill added, though: “That was a serious revelation in open court. It is what it is as far as the comment.”

Developer Richard Ferreira testified in the civil trial against former Supervisor Richard Scagliotti that in the spring of 2002, Cruz told him that he would support the builder’s 170-unit senior housing project’s annexation into Hollister if he gave Cruz $1,000 a unit for use at the official’s discretion, according to the court transcript provided by Monterey Peninsula Court Reporters.

The trial is part of attorney Mike Pekin’s 5-year-old lawsuit alleging that Scagliotti used his position’s influence to gain financially. Pekin attempted to use the Ferreira testimony March 7 to tie together the two supervisors’ alleged conduct.

The project slated for an area near Hazel Hawkins Memorial Hospital on 24.5 acres had city officials’ support but ultimately was shot down in May 2002 by the Local Agency Formation Commission – which Cruz sat on in his capacity as a supervisor.

The project – Ferreira had partnered on it with a developer named Martin Miller – needed LAFCO’s approval for annexation into the city for a portion of the site. The LAFCO board – Scagliotti also was a member – rejected the annexation on a 4-1 vote, with former Hollister Councilwoman Peggy Corrales as the lone supporter. The annexation’s dissenters argued the city did not have adequate services to support the development.

Cruz has not returned phone calls requesting comment. He did respond to the first phone call from the Free Lance explaining the allegation with the following e-mail:

“Your (phone) message stated that Richard Ferreira, a developer, said I agreed to negotiate a reimbursement regarding a proposed development he was involved in. That stated (sic) is unfounded. The city at that time, was not able to provide sewer services to the development. When I told Mr. Ferreira this, he responded, ‘that’s not my problem.’ The discussion ended.

Attorney Michael Serverian, who represents Scagliotti and the board against Pekin’s suit, questioned after the testimony why Ferreira waited six years to come forward with the accusation.

Ferreira told the Free Lance earlier this week he perceived Cruz’s offer as an “under-the-table deal” and that he rejected it, telling him the project was strong enough without such help.

Ferreira testified in court that he had met with Cruz prior to LAFCO’s consideration – what the developer called a standard procedure – to try to promote the project and answer any questions the supervisor might have had on it.

According to the court transcript requested by the Free Lance, Ferreira had this to say under oath about the meeting: “Well, I was kind of taken aback because Supervisor Cruz asked us in order to get his vote he was requesting that we give him $1,000 per unit.”

Ferreira went on to explain that the total would amount to $170,000 and that he understood Cruz would use the money “at his discretion.”

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