Area 19C Fairway Canyon Bond Accounts Drained, Paid to Developer

Re: City of Beaumont/Area 19C Fairway Canyon

In 2004 Fairway Canyon Area 19 began Construction of over 3,000 houses without filing a CEQA EIR. Area 19 is divided into six (6) Development Areas identified as Areas 19A through 19F.

The City of Beaumont has acquired three (3) Mello Roos Bonds on Area 19C:

2006 Series A $14,220,000

2008 Series A $4,090,000

2013 Series A $8,810,000

The Federal Securities and Exchange Commission froze the City’s Bond Assets when it began its investigation in 2013. At that time there was $4,465,370.21 remaining in Area 19C’s 2013 Bond Construction Fund.

The S.E.C. released the Bond Funds and the City of Beaumont withdrew the entire $4.46 Million remaining in the 2013 Bond’s Construction Fund and transferred the money to SDC Fairway Canyon.

On June 11, 2018, Beaumont Finance Director Melana Taylor received an interoffice memo from former Public Works Director Amer Jakher stating that 11 different Public Works Projects were completed by Argent Management, who represents SDC Fairway Canyon LLC.

There were no Public Bids submitted as required by California Public Contract Code or Payroll Records submitted as required by California Labor Code. The few Invoices submitted fall far short of $4.46 Million.

Fairway Canyon is located at the Northwest area of Beaumont. Federal Fire Standards recommend a 4-minute response time. Houses in Fairway Canyon are over 20 minutes from fire protection because Beaumont has built over 20,000 houses without building any fire stations.

February 16, 2016: Fairway Canyon Elementary School Removed from General Plan in order to build more houses: http://beaumontca.gov/DocumentCenter/View/27077