Headed for a sizable jail term, ex-state Sen. Ronald Calderon, caught in a sting that laid bare his role in an influence-peddling scheme, has reached the likely end of his political career.

Calderon, “once the most powerful member of a politically influential family, was sentenced Friday in Los Angeles to 42 months in prison after he pleaded guilty in a federal corruption case,” the Los Angeles Times reported. “The Montebello Democrat, who served in the state Senate for eight years ending in 2014, admitted in a plea deal in June that he had accepted tens of thousands of dollars in bribes from undercover FBI agents and a hospital executive in return for official favors.”

Calderon’s guilty plea put him on the hook for one count of mail fraud, and for “soliciting more than $155,000 in payments or financial benefits in exchange for supporting or blocking legislation,” as the Associated Press noted. “He took $12,000 worth of trips to Las Vegas from an undercover FBI agent who posed as the owner of a Los Angeles movie studio seeking his support for film tax credits, though the legislation never passed, according to his signed plea agreement. The agent hired Calderon’s daughter for a $3,000 a month no-show job and paid $5,000 toward his son’s college tuition.”

Despite a strong push from federal prosecutors for a bearable but robust punishment — Calderon is 59 — the former Senator benefitted from a degree of judicial leniency. “Federal prosecutors had asked for a five-year sentence for a charge for which the maximum possible penalty was 20 years. U.S. District Judge Christina Snyder, who handed down the sentence to Calderon, said five years was too severe but that a significant prison sentence was needed to punish Calderon and send a message to other elected officials that corruption will not be tolerated,” the Times added. 

Pressing his luck

In a sad irony, however, Calderon almost lost another year to prison as a result of his own request for preferential treatment. “Calderon made an emotional plea to stay out of prison to a judge who said he had not accepted responsibility or apologized to California’s citizens for taking bribes in exchange for his influence in the state capitol,” according to the Associated Press.

The disgraced lawmaker had even asked Snyder to grant him house arrest. Assistant U.S. Attorney Mack Jenkins argued that privilege would “continue to trivialize his corrupt actions, as he does throughout his sentencing position, and continue to evade true accountability.”

“After he spoke, Snyder said she had contemplated putting him behind bars for four years because his request for leniency was self-serving. But she said the shorter term was significant and would send a message to the longtime lawmaker.”

Calderon’s last-minute play represented a fallback position from his lawyer’s contention during the hearing accompanying his plea bargain that Calderon ought to be spared imprisonment entirely lest his life be endangered. “Mark Geragos, Calderon’s attorney, suggested during the court hearing that his client should serve no time in prison,” the Times reported. “He alleged that the government had entrapped Calderon and raised the former lawmaker’s poor health. The former state senator’s legacy has been ruined by his guilty plea in the case, he added.”

A low point

News of Calderon’s wrongdoing came at a nadir in Sacramento’s political reputation. “Calderon was one of three state senators charged with separate crimes in 2014 that shook up the Legislature,” the AP recalled separately. The family’s political dynasty suffered as well. The case against Calderon “swept up his brother, former state Assemblyman Tom Calderon, D-Montebello, who on Sept. 12 was sentenced to 10 months in federal custody for money laundering after pleading guilty to hiding the tens of thousands of dollars in bribes paid to his brother,” the Whittier Daily News reported. 

Brown signs farmworker overtime bill

Good morning. Even though the legislative session has concluded, there’s still legislative intrigue as the governor decides what bills will become law. 

In fact, by 2022, California’s agriculture workers will have the same overtime pay structure as most other employees in the state after Gov. Jerry Brown signed the measure into law on Monday.

Farmworkers currently earn overtime pay past 60 hours in a work week and past 10 hours in a work day. But starting in 2019, the threshold will lower incrementally until 2022 when workers will earn time-and-a-half pay beyond 40 hours in a week and eight hours in a day under the new law.

Democratic supporters often argued that passing this measure was a matter of “fairness,” while detractors, mostly Republicans, said farming isn’t like other professions, as it’s susceptible to uncertainty caused by weather delays, perishable goods, seasonal schedules and external price setting. 

CalWatchdog has more.  

In other news:

• Republican Congressman Darrell Issa’s challenger, “retired Marine Colonel Douglas Applegate — a Southern California Democratic House candidate who was endorsed Monday by Attorney General Kamala Harris — was accused of ‘stalking,’ harassing and threatening his ex-wife, who was granted two temporary restraining orders, according to court records on file in Orange County, California,” writes Politico.
• “Former California Assemblyman Tom Calderon, a member of a now disgraced California political dynasty, was sentenced Monday to a year in federal custody for laundering bribes taken by his brother,” reports the Los Angeles Times.

• “California is using more renewables and less natural gas this summer. Improving drought conditions are playing a role. Power generated from natural gas dropped 20 percent this summer compared to June through August of last year.” Capital Public Radio has more.

• Prop. 53 — which would require voter approval for any project financed with at least $2 billion in revenue bonds — could have far-reaching consequences … or not. CalWatchdog has more.  

Legislature:

• Gone ’til December.

Gov. Brown:

• No public events announced.

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While her ascendancy will need to be formalized with a vote of caucus members after November’s election, the vice chair, which Garcia is, has almost always become chair. The position already wields great power from its bully pulpit, but the bipartisan caucus appears set for a makeover after November sweeps in a large voting bloc of Democratic women to consolidate power in the Assembly.

Exactly how many women is unknown until the votes are counted. But a conservative estimate, based on a CalWatchdog analysis, suggests Democratic women will likely occupy between 16 and 28 seats in the Legislature next session, compared to 19 now.

The biggest gains will be in the Assembly where Democratic women could control at least 25 percent of the votes, with Garcia taking a lead role in the recruitment efforts.

In the four years since being elected — and after surviving a sharp learning curve having come from no background in elected office — the Bell Gardens Democrat rose in stature by focusing largely on ethics and women’s issues, with a knack for forcing to the forefront what she says are taboo topics.

Garcia made recent headlines for calling out a male colleague accused of domestic violence and for championing a bill redefining rape in the aftermath of the controversial sentencing of a former Stanford swimmer who sexually assaulted an unconscious woman and another eliminating sales tax on tampons and other feminine hygiene products. 

Both bills passed the Legislature and await a final decision from Gov. Jerry Brown. But to her, the legislative victories are just as important as the cultural changes. 

“I’ve been talking about periods the whole year,” Garcia told CalWatchdog in August over ice cream in Sacramento. “Why does it have to be taboo? It’s women’s health.”

Queenmaker

One of Garcia’s biggest goals with the women’s caucus outside of policy will be to build a bench of viable Democratic women candidates, particularly women of color, to compete for governor. There are only 11 women of color in the Legislature at the moment (several of whom are termed out in November), but many of the presumptive newcomers are Latinas.  

There’s no reason the first female governor in the state’s history would need to come through the Legislature, but it’s not a bad launch pad. Garcia didn’t dispel the notion she may make a run for governor at some point, but she said she’s satisfied doing what it takes to make a female Democratic governor possible. 

“If we don’t have a farm, we’re never going to climb,” Garcia said. “The men aren’t doing it for us, so we have to do it for ourselves.”

The 2018 gubernatorial field is quickly filling with men, so Garcia is looking to future elections to break the glass ceiling. Garcia knows gubernatorial candidates will want the women’s caucus’ support, but it would come with a price.

“I’ll help you now because I want something later,” Garcia said. “And that something is a woman governor after you.”

Background

In 2012, the unassuming math teacher was sent to Sacramento by voters in an underprivileged district in southeastern Los Angeles County — her only prior political experience was forming a community group in response to widespread corruption in Bell Gardens.

In her first primary, she bested a member of a political dynasty, then-former Assemblyman Tom Calderon. After defeating Calderon, she handily beat her Republican opponent in the general election and has run officially unopposed ever since.

Garcia is quick to condemn what she sees as immoral or unethical actions. A few months ago, she was one of the first legislators to demand the resignation of fellow Democratic Assemblyman Roger Hernandez after allegations of domestic violence surfaced.

In 2013, she was the first sitting legislator to speak out and organize protests against Ron Calderon, a sitting senator, calling for his resignation after allegations surfaced the FBI suspected him of bribery. Calderon would later plead guilty to mail fraud, while his brother, Tom (Garcia’s former opponent), pleaded guilty to money laundering.

When the Kevin Sloat lobbying scandal ripped through the Legislature, Garcia responded with a sweeping ethics package. And currently waiting for Gov. Brown’s signature is a measure to overhaul the Central Basin Municipal Water District amid allegations of wrongdoing. 

But Garcia has had her own ethical faux pas. During her first run for the Assembly, she claimed she had a Ph.D. when she had only completed coursework. She has since admitted the mistake and will defend her dissertation in December.

Chair

Above all, Garcia’s time as chair will be about women and women’s issues, and she’ll have tremendous influence over the legislative focus of the caucus. Her recruitment efforts with the 2016 crop of women candidates will engender a base of loyalists. 

Garcia plans to personally push for early childhood education, but rather than having members support the caucus’ agenda, Garcia plans to have the caucus support members’ agendas — hence the emphasis on electing more Democratic women.

Naturally, Democratic women are more likely to stick together than a bipartisan group would. Plus, Republican women in the Legislature will drop from 12 seats to between five and eight.

Garcia understands power in the Legislature is held in numbers — the tighter and larger the voting bloc, the better — and wants to use it to enable women to accomplish their goals.

“We just have to prop each other up,” Garcia said. “Hold our votes together to push our stuff forward, and hold our votes together to hold things hostage when our stuff is not being taken seriously.”

A shadowy political action committee cited in the FBI’s case against state Senator Ron Calderon, D-Montebello, has spent hundreds of thousands of dollars on private jets, five-star hotels, elite golf courses and extravagant meals at the country’s finest restaurants, a CalWatchdog.com analysis of campaign finance reports has found.

But the biggest questions might be over nearly half-a-million dollars in mysterious payments funneled to a professional political fundraiser, who promises on his website to “put the FUN in fundraising!”

According to the FBI affidavit that was obtained by Al Jazeera America, “Californians for Diversity is a charitable arm of the Diversity Political Action Committee.” In its five year history, Diversity PAC, according to campaign finance reports, has raised more than $1.2 million. More than two-thirds of those funds, $813,766, has been spent on payments to hotels, golf courses, resorts and professional fundraisers.

Half-million paid to Capitol fundraiser

By far the largest recipient of Diversity PAC funds has been John Jacobs and his professional fundraising company, Capitol Alliance. Diversity PAC has paid Capitol Alliance and John Jacobs more than $462,750 in combined payments for consulting fees and fundraising expenses. Jacobs did not respond to CalWatchdog.com’s email request for comment.

“The Capitol Alliance is a broad-based professional political consulting and fundraising services company,” the company states on its website. “We have the experience and know how to creating long lasting mutually beneficial relations for our clients.”

Among the questions raised by Diversity PAC’s campaign finance report is why the organization split expenditures, of approximate value, between John Jacobs and Jacobs’ company, Capitol Alliance. As an individual, John Jacobs received more than $175,000 in campaign funds from Diversity PAC. Over the same period, the PAC disbursed $237,000 to The Capitol Alliance with another $50,000 listed on campaign reports under a third category, “John Jacobs, DBA — The Capitol Alliance.”

While little is known about the payments to the Sacramento fundraiser, even less is known about the PAC itself. The Capitol Alliance website maintained the only public information about Diversity PAC. Since Al Jazeera America’s bombshell report, Capitol Alliance has scrubbed any reference to Diversity PAC from its website. However, CalWatchdog.com archived copies of the website in September.

“The Diversity PAC was founded in December 2007, at the suggestion of concerned private citizens nad [sic] business interests; and with the financial support of key founding members, all with diverse backgrounds, education and experience,” the archived version of the website explained of Diversity PAC. “Since then, ‘DPAC’ developed, created and implemented strategic grass rooots [sic] election campaigns that directly resulted in the election of intelligent and thoughful [sic] candidates who were concerned, focused, and committed to addressing the critical business issues facing California in the 21st Century.”

“We put the FUN in fundraising!”

Rather than focus on the “critical business issues facing California,” Diversity PAC relied on its fundraiser to deliver luxurious meetings, events and conferences. According to the Capitol Alliance website, the fundraising company boasts as its motto, “We put the FUN in fundraising!”

Diversity PAC’s fun included nearly $220,000 spent at Bandon Dunes, Pebble Beach, Indian Wells and the American Club — with $32,000 in expenditures at these luxurious resorts incurred after the FBI’s June 6 raid on Calderon’s offices.

Topping the list of the organization’s favorite destinations with more than $104,000 in expenditures is the Bandon Dunes Resort. Described by Golf Odyssey as “the single best place to play golf in the world,” the exclusive Oregon golf resort served as the venue for Diversity PAC’s 2013 Fall Policy Conference. It scheduled a “Winter Policy Conference” at the golf resort next month.

“Picture a cross between Pebble Beach and Carnoustie — with a pinch of Pine Valley for good measure — and you have Bandon Dunes,” Golfweek’s Dave Seanor explains of the resort.

But beneficiaries of Diversity PAC didn’t need to imagine Pebble Beach. In September, the organization spent $9,000 in expenditures at Pebble Beach.

The committee’s golf junkets spanned the state. Earlier this year, the organization rang up more than $57,000 in two trips to the Hyatt Regency Indian Wells. According to the Capitol Alliance website prior to its removal, DPAC chose Indian Wells for a Winter Conference in January and its Spring Break Leadership Conference in March.

Not content to enjoy the West Coast’s luxury resorts, Diversity PAC also accumulated more than $33,500 at the American Club, Wisconsin’s first and only five-star hotel. “A place untouched by neon lights, fast food and the cares of cable news,” the American Club promises guests on its website that it’s a place where “you can focus on the things that really matter to you.”

Chartered jets and limousine rentals

To reach these five-star resorts, Diversity PAC relied on chartered flights and limousine rentals charging more than $56,000 in luxury travel. The committee selected charter companies that specialize in providing privacy to “a discriminating list of clients.”

“Our seasoned pilot crews fly you in luxury, privacy and security to one of hundreds of airports not served by commercial airlines,” Axis Jet, which received $10,800 in Diversity PAC funds last November, explains its brochure. “Today, we serve as an aviation partner to a discriminating list of clients who enjoy all the benefits and value that aircraft ownership has to offer.”

Diversity PAC also accrued nearly $26,000 in expenses with Trans Global Travel, $10,100 in expenses to Byron McCluskey Aviation Services, $8,753 in expenses with Tower Aviation Services, LLC, and $180 in expenses with American Limousine and Transportation.

PAC payments to Ron and Thomas Calderon

Ron, and his brother Thomas, also accepted thousands of dollars directly from Diversity PAC. The Calderon Group Inc., a political consulting company owned by Thomas, received $13,607 from Diversity PAC in addition to $1,183 in reimbursements paid directly to Thomas. Meanwhile, Ron’s officeholder account accepted $1,562 in campaign funds directed from the PAC.

Ron and Thomas also benefited, according to the FBI’s affidavit, from more than $10,000 in campaign funds transferred from Diversity PAC to Californians for Diversity.

“We have this nonprofit. It is called Californians for Diversity,” Ron Calderon told an undercover FBI agent, according to an affidavit obtained by Al Jazeera America. “So, we are gonna build this thing up and … then, Tom and I down the road, we build that up, we can pay ourselves. Just kind of make, you know, part of a living.”

On July 16, after the FBI had already raided the State Senator’s offices based on evidence that he had used Californians for Diversity as a slush fund, the committee transferred $13,607 from the PAC to Californians for Diversity.

In recent years, Diversity PAC has provided minimal support to political candidates and campaign committees. On the Capitol Alliance website, Diversity PAC listed past support for State Senator Rod Wright, Los Angeles City Councilman Curren Price; and Rep. Juan Vargas, D-El Centro. In 2010, the committee transferred $150,000 to the “Put California Back to Work” committee, which spent heavily to elect Vargas to the state Senate.

More than one week ago, the Hews Media Group broke a big story about California State Assembly Speaker John Perez collaborating with former Assemblyman Tom Calderon and Central Basin Municipal Water District officials, “in an attempt to coerce three Maywood Mutual Water Districts into taking on unwanted projects that if they did not accept, the districts, as Calderon said, would be ‘dissolved with a stroke of a pen.’”

One of the water districts’ general managers later asked who Tom Calderon was, with Calderon answering, “I was a State Assemblyman, my other brothers were Assemblymen too, so (laughing) we got the politics covered.”

The projects would have landed Calderon and his allies, as well as the Central Basin Municipal Water District, a lucrative $25 million dollar consulting contract to “fix problems” that one Maywood Mutual Water District General Manager insisted twice in the audio recording “we don’t have, or we were already working with the WRD to fix,” Randy Economy and Brian Hews reported.

Hews Media Group has three audio tapes of the meetings and deal making, which are now in the hands of the FBI.

“Calderon is heard on the audio recording saying he was ‘summoned’ by Speaker Perez and the Los Angeles Mayor Antonio Villaraigosa to call the meeting that included Enrique Gasca, one of Perez’s top staff lieutenants, CBMWD General Manager Art Agiular, Sergio Palos, General Manager of MMWD #1, Gustavo Villa, GM of MMWD #2, and Bob Ruhlf, who is the GM in District #3,” Hews reported.

This is big news worthy of a RICO investigation. RICO is the federal Racketeer Influenced and Corrupt Organizations Act, passed in 1970, to eliminate the ill-effects of organized crime on the nation’s economy.

But since the Hews Media Group October 24 story, it’s been only crickets in the mainstream media.

The other Calderon scandal

Instead, most news outlets are focused on the latest scandal surrounding Sen. Ron Calderon, D-Montbello, Tom Calderon’s brother and chairman of the Senate Select Committee on California’s Film and Television Industries. He stands accused of offering to help provide a state tax credit for films that cost less than a $1 million.

On Saturday, I published a story about Freshman Assemblyman Ian Calderon, D-Whittier, Ron’s nephew, authored two bills in 2013, AB 344 and AB 533, also involving the movie industry. And, Freshman Assemblyman Ian Calderon, 28, was given the chairmanship of the Arts, Entertainment, Sports, Tourism and Internet Media committee, by Speaker John Perez.

Again, it’s been crickets in the main stream media.

It is likely that representatives of Assembly Speaker Perez made some phone calls discouraging further reporting of his Calderon connection. Hews Media Group reported that the Los Angeles Times was also provided with the audio tapes, but refused to do the story.

The meeting, the deal

At the time of the meeting, Hews Media Group reported that records show Calderon was being paid $11,000 per month by Central Basin Municipal Water District for “public affairs.”

Aguilar begins the meeting with an explanation of why they were “summoned” by Perez and Villaraigosa and then says to the Maywood Mutual Water Districts general managers, “anything can happen if the money is there.”

“Almost three minutes into the meeting, Enrique Gasca enters the room and is introduced as Speaker Perez’ Director by Calderon,” Hews wrote. “Calderon goes on to say, ‘if we can’t make this (the project) happen we are all in a lot of trouble, in terms of things you want from Sacramento and his (Speaker Perez) ability to retaliate or encourage things… I have never seen a Speaker who does not get what he wants.’”

Calderon continues: “Here’s the deal, we need to be proactive, if we are not, if we do not put a plan together we can all support, the MMWD’s can be dissolved with (Calderon snapping his fingers) a ‘stroke of the pen’, it can be done,” reported Hews Media Group.

“One of the GM’s angrily says, ‘and this is your solution to better quality water?’”

“Calderon answers him, ‘it (the water quality) doesn’t matter, the (goal of the project) does not matter.’”

The bill that Calderon was talking about was Assembly Bill 240, first authored by Perez after he became Speaker. The current bill was authored by Assemblyman Anthony Rendon, D-Lynwood.

The bill was also being pushed by former Assemblyman Tom Calderon, and only targeted the Maywood Mutual Water District.

AB 240 was signed into law by Gov. Jerry Brown.  According to Rendon, “AB 240 addresses the water quality problems in the 63rd Assembly district by requiring mutual water companies like those that that deliver water to Maywood’s residents to comply with the Brown Act and the Public Records Act—two icons of public agency law.”

The audio recording has Calderon telling the group that “the quality of the water is not an issue, but painting a perception that the water is bad is the intent and if the water is presented as being bad, then the money will be there.”

He goes on to say, “if we can do that, then that will make him (Speaker Perez) feel comfortable enough to go ahead and move forward (to disburse the $25 million). He (Perez) will want to have an independent agency receive the disbursement-Calderon indicates that CBMWD as the agency-and would be the appropriate entity to control the process.”

Twenty minutes into the meeting one of the Maywood water districts general managers asks “what do you want us to do?” Calderon’s response was, “as long as it is agreeable to us (Calderon, Aguilar), I don’t think the Speaker (Perez) is going to care how it is done, as long as it is getting there,” Hews reported.

Aguilar then prompts the GM’s for a “needs list” and tells them that, “it is in the best interests of you and your owners to cooperate with us and Speaker Perez.”

“In what was probably indicative of the entire meeting, one GM says to Aguilar, ‘so you want me to give you a list of things that I need to replace to solve a problem I don’t have.’” Aguilar’s response was a loud laugh followed by “yeah.”

For the audio recordings, click HERE.

Gil Cedillo Jr.

Gil Cedillo Jr. will be “relieved of duties” July 31 from the Central Basin Water District.  The Los Cerritos News reported Cedillo Jr. was paid $112,970 a year, as well as $22,000 toward his bachelor’s degree. He is the son of Gil Cedillo Sr., who now sits on the Los Angeles City Council; and formerly served in the state Senate and Assembly.

Cedillo Jr. was once the chief of staff for then-Assemblyman Ron Calderon, D-Montebello, who now is a state senator. 

And more than a decade ago, Cedillo Jr. was a senior field representative for then-Assemblyman Tom Calderon, D-Montebello, who left office in 2002. Tom and Ron Calderon are brothers.

On June 5, the FBI raided Ron Calderon’s office. According to the Los Angeles Times, “[F]ederal authorities have seized records from a Southern California water district that provided contracts to Calderon’s brother, former Assemblyman Tom Calderon.”

Tom Calderon is a “consultant” for the Central Basin Water District and has been a familiar site at the Capitol lobbying lawmakers on bills benefiting his clients.

Tom Calderon is paid $10,000 a month as a consultant/unregistered lobbyist, and another $140,000 per year as a consultant to a subcontractor, according to the Los Angles Times. The Chicago Tribune reported this totaled more than $750,000 in consulting fees since 2004.

The FBI also searched Pacific Hospital of Long Beach and Industrial Pharmacy Management in Long Beach, companies using Tom Calderon as a consultant.

Political fiefdom

“Cedillo Jr. was rarely seen at work for the past several months by employees and elected directors of the district, but still collected his six-figure salary,” the Los Cerritos News reported. “Copies of checks written to Azusa Pacific University to cover the costs of Cedillo Jr’s.” salary were “approved by former CBMWD General Manager Art Aguilar, who is a longtime personal friend of Cedillo’s family.”

Cedillo Jr. has been working since April of 2011 as a “business development manager” for the Central Basin Municipal Water District.

Cedillo name

“It pays to have the name Gilbert Cedillo in Los Angeles political inner circles these days,” said Randy Economy and Brian Hews in the Los Cerritos News story.

When Cedillo Jr. went to work for Central Basin, a college degree was a condition of his employment. So the water district paid him $22,000 toward tuition at Azuza Pacific University. If Cedillo Jr. were to “flunk out,” he had to repay the district, according to the Los Cerritos News. Instead, termination means he doesn’t have to repay the tuition. And he will receive a severance package.

By Katy Grimes