Measure A was supposed to improve the freeways but it never would have raised money and they knew that. The Mexican nationalism is on the rise as Mexicans are offended by talk from the Donald Trump administration. As they bury nuclear waste on the coast, they introduce a bill to move this toxic stuff. I a.m. Marj Saur and the KPBS Roundtable starts now. Welcome to our discussion. Joining me up around tidal -- Roundtable is Andy. It is good to see you today. The Metro reporter, hello, Andy. And Sandra is here. Watchdog reporter Jeff McDonald is here. Hello. Is good to have you here today. In the months leading up to the election, we were urged to back a cell stack -- sales tax hike. They pushed it saying it would raise $18 billion. That number was billions more than it was likely to raise. There trained 40 knew that but kept it to themselves. This is a draw -- jaw-dropping story. Plus how they got the -- this so wrong. They used the basis for the modeling that the Duke, all the forecast they do. That model that they used for forecast that became bit extension in 2004, and the one that became Measure A, they had the same law. The basic one was they say and everyone would get more rich Dente there was any real historical evidence for. The rate of the increase in the wages is something like .69% and they thought it would increase at 1.3%. It was almost double the amount. It is a simple series of events. If everybody gets more rich, everyone spends more money than they have before and everyone will generate more tax revenue. This was discovered a year before Measure A was voted on and it caused panic. We have the election in November 2016. The year before the fall of 2015, this was known. How did create panic? How did that come up in the organization? But you had one model who said to his supervisor the newly -- he said here are some numbers. They exchanged emails a couple of times before Ray Mager said am I understanding this right? And he laid out what I just said. He said yes. You got that right. He responded OMG. The next guy said, wait. I can think of a nether acronym that we could use and he responded WTF. We are talking about real concerns. They understood the implementation -- implications. They go on for a month putting together charts and refining the data and building a case, knowing that this is going to produce tax revenue expectations that are beyond anything that is supportable. They put it together in a presentation and they took it to the executives instead here is what we found. I want to be clear. The implications were explicitly spelled out in the presentation that this had major affects on the expectations that were already being felt and it would be applied. You in real life experience and the speculative thing in the proposal. You they are trying to sell the voters. Vote for this Measure A because it will be $18 billion and we will do all of these wonderful things. This was months ahead of that measure. They had been contemplating the measure and there had been discussions and negotiations among the board but it has not been finalized. This is in December when they were made of where this and it wasn't until April Wednesday voted. They had the months before they were out there campaigning in Saint $18 billion is coming. They did not do anything about that? They did not tell the oversight board that was created to watchdog the SANDAG . None of the board was made aware this. At that point, you make a minor adjustment and it is not becoming a major thing until you go to the voters with it. Instead of $18 billion? Are we talking $14 billion? That is a lot of real money. This measure was going to pay for a lot of infrastructure. There was freeway widening and public transit and new services. One of the interesting things on the project list was the same projects that were included in the 2004 transit extensions. It seems clear that Measure A was meant to fill the projects that could never actually get built on the timeline that they originally planned for the 2004 tax measure that was approved. There was priority programs that was meant to fast-track the most important projects and SANDAG said we would build these within 15 years but they gave themselves a convenient out to say if the economy goes down, if we are not getting enough revenue, we can vote to delay the priority projects in these revolutions seem pretty damning. I am throwing something to both of you. As far as what you can see how this came about, the various officials who sit on bed SANDAG boards were not made aware of this. They did not know. I talked to the chairman of the board and he said he was not and he should have been. Now, you know, there are 19 board members. I can't say definitively that no one knew. [ OVERLAPPING SPEAKERS ] Is there any accountability from the staffers that were responsible? So far, there does not seem to be. SANDAG had an annual retreat this week on Lakeside. All the board members and people who are not on the board are out there. There was discussions about this. There was hit -- handwringing about what should happen but no one talked about specific accountability measures. We will get into that in a moment about things that were discussed going forward but credibility with the voters, is that a big deal? Most people are not aware of what SANDAG does. Most people do not know who the members or the mayor is what they do. The danger with losing credibility is not the average board -- the voter, you are in danger among the advocacy organizations and political parties and other agencies that will or will not endorse a future measure. Piggybacking on that, I think that is true. You do not need to be aware of this right now for it to matter the next time it is on the ballot. There will be a campaign This had opponents on the left and right. They are feeling vindicated by this. You mentioned credibility. You interviewed Ron Roberts, a supervisor and let's see what he said. The public has a right to be concerned. That is why we need to be able to identify precisely how and what happened. You know, the broader public once these improvements. That is the one thing that we know. Whether SANDAG is in a position to deliver those or whether it is done by two different regional bodies, rate remains to be seen. If SANDAG is not paying for the regional projects, who might? We have a story on how they may scale back. Cities and counties have the ability to tax residents. They can use that money how they see fit. They do do that for roads and things like bike lanes and other things. They can coin -- form joint power agreements. Cities can build infrastructure together. SANDAG has a huge role in planning and transportation and every sort of aspect. It is difficult to imagine any future tax measure in which SANDAG had no involvement whatsoever. There has been discussions of MTS crafting a tax measure. They are not involved in a serious way with funding. That is an -- in the idea phase. They cover most of the South County. That is where Measure A got the most support and were most transit exist. They have research that and they found that it is complicated and they need new authority for the legislature. There are logistical questions to resolve. We're talking about subgroups raising money for transportation. We need to take a look. If there is a subregion that says we want Highway 78 so that the cities, they do not have to have anybody else for dissipating. They can say, these cities, we will agree whether it is in joint powers or whatever, they can do that. What kind of reaction are you getting in this revelation? We have quite a bit of feedback. Some people are appalled and do something about it but we will see. We Will. Thank you very much.
SANDAG SANDBAG?
It's deja vu all over again.
In 2004 voters approved the San Diego Association of Governments' (SANDAG) TransNet sales-tax hike, expecting it to bring in some $14 billion for transportation projects over 40 years.
First there was the timing issue.
The county began collecting TransNet revenue in 2009, in the middle of the big recession, which translated into a very bad year for sales taxes.
Revenues never caught up because of issue number two: SANDAG's aggressive projections did not take into account national trends in declining sales-tax revenue or even average sales-tax revenues in San Diego County.
SANDAG staff now project TransNet revenues will probably total $9 billion.
Fast forward to the 2016 election and Measure A, another SANDAG sales-tax extension measure on the November ballot, which, was defeated.
SANDAG used the same faulty revenue model of 2004 to predict that Measure A, a sales-tax hike for transit projects, would bring in $18 billion over 40 years.
Emails obtained by Voice of San Diego show SANDAG staff discovered revenues from TransNet would be much lower than projections and that their economic forecasts had significant errors. What was true for TransNet would be true for Measure A.
Staff presented their findings on the errors to SANDAG management.
Management did not inform its board of elected representatives or the oversight committee. Nor did they adjust projections for TransNet revenue for the public.
But SANDAG did rely on the faulty forecast, based on the premise that sales-tax revenue would increase annually by 1.3 percent, (when it historically had increased just .69 percent) to craft 2016’s Measure A.
The big question now: Can SANDAG recover its credibility with voters?
Related:
VOSD: 'OMG,' 'WTF': Emails Show SANDAG Knew Forecasts Were Wrong, Went to Voters With False Promise Anyway
VOSD: SANDAG's Last Tax Hike Is on Track to Fall Billions Short -- and Measure A Could Too
SDUT: Did SANDAG conceal revenue debate ahead of controversial tax vote?
MEXICAN PRIDE
Since Donald Trump became president, Mexicans have experienced a wave of nationalism which extends from Cancun to the northern border.
Many Tijuana residents who routinely cross the border to shop, work, go to school, visit family have been surprised and offended by the aggressive threats of wall-building and deportation issued frequently by the Trump administration.
Ninety percent of sales in San Ysidro stores come from Mexicans, some of whom called for a boycott of cross-border shopping last Sunday. That was the first such action since the 1994 protest of California’s Proposition 187 which denied health care and education to immigrants in the county illegally.
Related:
SDUT: With Trump, a resurgence of Mexican nationalism at the border
SDUT: Border boycott slows business in San Ysidro
NEARBY NUCLEAR WASTE
SONGS has ended, but the problems linger on.
The San Onofre Nuclear Generating Station, or SONGS, was shut down by majority owner Southern California Edison in 2013, following a radiation leak caused by faulty equipment.
Many SONGS-related issues are unresolved, including a criminal probe of the California Public Utilities Commission and how the deal to pay for the closure will be renegotiated. But perhaps the most concerning is the disposal of the plant's nuclear waste. There is famously no authorized storage facility for nuclear waste in the United States.
Edison has begun transferring waste into steel-and-concrete canisters and burying them just north of the reactors on the coast, a job scheduled to be finished in 2019.
The transfer and burial are happening now in spite of a bill introduced in January by Congressman Darrell Issa (R-Vista) to relocate the waste away from San Onofre.
A lawsuit has been filed by Ray Lutz of Citizen’s Oversight against the California Coastal Commission, which permitted the storage in 2015. Lutz maintains that the commission didn't look at other places to store the waste and while the present burial plot is convenient for Edison, the ocean, salt air, tsunami risk, earthquake faults, the freeway and train tracks make it anathema for everyone else.
Eight million people live within 50 miles of San Onofre.
A hearing on the Citizen Oversight suit is scheduled in March.
Related:
SDUT: Nuclear waste storage moves ahead as Issa, others, seek to relocate it