What is the real rate of interest on the WRCOG $43 million judgment?

By: Lloyd White, August 7, 2014 | Original Article

From the day the WRCOG (Western Riverside Council of Governments) judgment concerning TUMF (Transportation Uniform Mitigation Fee) was announced, there has been a lot of speculation and confusion as to how much interest Beaumont has accrued since the lawsuit started in 2009 and how much more will accrue through the appeals process. Unfortunately, as with many other important issues facing Beaumont voters, those who want to avoid a serious discussion will try to create distractions. I think the important issue here is not the interest, I believe that can be negotiated down significantly. The important issue is how do we move forward after a large settlement from a lawsuit brought against Beaumont by all our neighbors.

In a post I published tonight on my OurFocusOurKids.com website (Click here to read the post), I address the claim the City of Beaumont has made on their “Rumor Control” page on the City’s website that the interest is only accruing at a rate of one tenth of one percent, or $43,000 a year. I point out where Judge Chaffee specifically addressed the Civil Code the City uses as the basis of their “Rumor Control”argument in his decision. And, I present what I have learned when I contacted WRCOG to get their position.

If you are learning about this issue for the first time and you want more details, I suggest you read my four part series on the WRCOG, TUMF and CFDs. There are links in the post to all four parts. In the fourth part, I’ve proposed a detailed plan to deal with the settlement and how I feel is the best way to move forward.

The bottom line is that this is an issue that isn’t going to go away. Whether you agree with me or not that the appeal isn’t the best solution, I hope we can all agree that we need to be addressing this issue now. If the appeal fails, we will be better off beginning to address this issue now instead of in a couple years. If the appeal is successful and the entire judgment is erased, the plan I’ve proposed will put us in a much better position to build a future in Beaumont for our families that we can all take pride in.