Caltrans Regarding Potrero Interchange & Beaumont

The Potrero Interchange Project would be much more Feasible without Beaumont’s Participation.

CalTrans District 8

464 West 4th Street 6th Floor

San Bernardino, CA 92401-1400

Attn: Philip Hannawi

Re: 08-RIV-60-PM 29.0

The City of Beaumont has two Items regarding the Potrero Interchange on their August 1, 2017 Agenda. Agenda Item 7, Cooperative Agreement with Caltrans; and Agenda Item 11, Re-Issue RFP for Potrero Construction Management Services. The Contract was Awarded to ‘Falcon Engineering’, but Item 18 was pulled from the July 18, 2017 Agenda.

Beaumont is locked out of the Bond Market and the Potrero Interchange is part of the S.E.C. Investigation as the $13 Million already expended on the Project was Embezzled out of Beaumont’s CFD Bonds and paid to Urban Logic Consultants up until February, 2016.

The City’s only financial option is to acquire private bank financing for the Potrero Interchange. A bank is not going to loan the City money to construct an Asset that will become the property of the State. The Project would be much more feasible without Beaumont’s participation.

The 2012 Potrero Interchange Agreement with Caltrans was signed by former Beaumont Mayor Brian DeForge, who recently lost his job with the School District for using his position to run a copper theft operation; and former City Attorney Joe Aklufi, who has been Indicted for Fraud and Embezzlement.

Enclosed are Audit Packets regarding the City of Beaumont:

FINANCES: Beaumont removed $350 Million in Forged Assets from their Financial Statements and still received a ‘Disclaimer of Opinion’ on their 2015 Audit because they refused to remove the $60 Million in Forged Sewer Machinery & Equipment. But to make the matter worse; the City created a Forged 2015 Audit for the purpose of Defrauding Banking Institutions.

INSURANCE: ERMAC Principal James Gregg was also receiving a salary from the City of Beaumont as Risk Manager. The City’s Insurance expired on July 1, 2017, but the City will not release their new Insurance Policy or the Application. It is suspected that the City failed to tell ERMAC that the City never built Fire Stations and transports School Children on Public Buses using Drivers that are not Certified to transport school children.

STAFF: Kyle Warsinski and Rebecca Deming are former Urban Logic Consultant Employees operating the same scams that brought on the State and Federal Investigations. The City has no Finance Department and only one (1) Accountant on staff.

CONTRACTORS: Jimmy Sims, who works for Mark Thomas & Company, attended College with Urban Logic Consultant Principal/Planning Director Ernie Egger. Records show that Mark Thomas & Company was paid by ULC for work on Potrero. On August 16, 2016, the Beaumont City Council gifted Mark Thomas and Company a $22,742 No-Bid Contract for the Potrero Interchange. The money was transferred to Mark Thomas & Company before the start of the Council Meeting to pay for old Invoices. Mark Thomas & Company was awarded another $131,000 on April 18, 2017.

ENVIRONMENTAL: The City of Beaumont has not filed a valid CEQA EIR in the last quarter century. Beaumont has built 20,000 houses and either claimed ‘No Impact’ or didn’t file any paperwork at all. The City refuses to build the three (3) Fire Stations necessary for the current Citizens’ safety because they would have to comply with State and Federal Laws.

The City of Beaumont has been far too corrupt for too long. The City should focus on building the infrastructure of the City and not waste time and money on Regional Projects. If Riverside County and CalTrans wants the Potrero Interchange built they need to do it themselves and stop wasting everyone’s time and the Taxpayers’ money pandering to the City of Beaumont.