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Mr. Don McCormick tair Political Practices Commission June 30, 1997 Page 4 9. Once appointed Interim City Manager, Freeman allocated the $80,000 Taormina funding to fund one-half of the Assistant City Manager's salary, and to fund a part-time contract administrator. The Part-time person who was not appointed until January, to the best of my knowledge, has performed no dudes with regard to Taormina. As indicated In the McDonald report, only the City Manager and the Assistant City Manager have been involved with that franchise. 10. In November of 1996, On election night, the appointment of Malik Freeman was made permanent, and the terms of his employment included payment of one year's salary ($loo,000) should he be terminated without cause. 11. In December of 1996, Taormina approached the City M from exercWng its right to d00 request that the City refrain f raw -down $20,0Manager with a On a letter Of credit posted as part of the franchise agreement. The draw- down was to be automatic in the event that Taormina did not acquire land within the City of Colton for a Materials Recovery Facility (,) by January 1, 1997. , Without - MRF authorization from the City council, the City Manager directed the Assistant City Manager not to enforce that provision of the franchise. 12. Between December of 1996 and March 129 1997, Taormina prepared an entirely revised franchise agreement changing most essential terms that had been structured to favor the City in the competitive bidding process to instead benefit Taormina. Taormina worked with and through the City Manager and the Assistant City Manager on these changes. Taormina and the City Manager specifically directed the Assistant City Manager to circumvent the office of the City Attorney with regard to this process. The Assistant City Manager did, however, refer the proposed revised franchise agreement to Ms. Hornig who had prepared the City's version for her review. Ms. Hornig was also directed to circumvent the City Attorney's office and to refrain from informing the City Attorney of her involvement in this process. 13. In early April 1997, Ms. Hornig forwarded both her written mar inal comments regarding the proposed 9 revisions together with a 21 page memorandum strongly advising against the various -changes that had been