Category Archives: Fairfield CA

Latest on Flannery’s plan for new Solano City (California Forever)

[BenIndy note: We don’t often expect much good reporting from Rupert Murdoch’s New York Post, but the following story is thorough, fair and timely – highly recommended. Below that are links to three recent local reports from our Vallejo paper, and a few links to Bay Area tv reports. Check ’em out and stay informed. Oh, and… you might be interested in the Change.org petition: Oppose Flannery Associates and No to California Forever.]

$1B Silicon Valley-backed utopian city ‘California Forever’ facing national security probe: pols

Solano County
Flannery Associates has bought up nearly $1 billion in land located in Solano County. AFP via Getty Images

New York Post, by Thomas Barrabi, Published Nov. 12, 2023

A planned utopian city in California continues to face a high-stakes probe by a US national security panel – and state politicians still aren’t satisfied that the secretive project isn’t linked to China.

Since 2017, a little-known firm called Flannery Associates has stealthily bought up nearly $1 billion in land next to Travis Air Force Base, sparking alarms on Capitol Hill that a foreign entity could be backing the project for nefarious purposes.

Similar concerns arose last year after a Chinese firm bought 300 acres of land near an Air Force drone base in North Dakota.

In August, Flannery tried to calm nerves by revealing its backers included US tech tycoons such as LinkedIn co-founder Reid Hoffman and venture capitalist Marc Andreessen.

The group has said the land’s proximity to Travis was unintentional and outlined plans to develop a picturesque city featuring sustainable energy, a pedestrian-friendly layout and good-paying jobs.

John Garamendi
Rep. John Garamendi (D-Calif.) is among those who have raised concerns about Flannery’s origins. CQ-Roll Call, Inc via Getty Images

Nevertheless, the US Treasury Department’s Committee on Foreign Investment in the United States (CFIUS) – an interagency panel responsible for vetting business transactions for potential national security risks – is still actively reviewing the project as of this month, a pair of California lawmakers told The Post.

Rep. John Garamendi (D-Calif), who previously blasted Flannery for using “strong-arm mobster techniques” to acquire land from local farmers, told The Post that the firm’s explanation to date is “only half of the story” – and claimed the project bears the hallmarks of a “patient” foreign investment scheme.

“To say it’s ‘American money’ is not a complete explanation of who is the investor,” Garamendi said. “I’ve been around long enough to understand the way foreign money – legitimate and illegitimate – is invested in the United States. Usually in an LLC, in a real estate transaction.”

Flannery Associates was originally registered as an LLC in Delaware, which does not require an ownership disclosure. The project’s organizers describe California Forever as Flannery’s parent company.

Flannery has rankled Solano County residents with vaguely-defined plans to build the city on patches of dry, unincorporated farmland that is pockmarked with wind turbines and abandoned gas wells and is known to lack enough infrastructure to support a large population.

California Forever
The first renderings of the “California Forever” project emerged earlier this fall. California Forever

Catherine Moy, the mayor of Fairfield, Calif., said the feds are “still investigating” the situation and were “not 100% that China is not behind funding on this.”

“CFIUS, they’re still going forward with their investigation. You can trust but verify, especially with things like this,” Moy said. “A couple of the investors already are very connected with China, business-wise.”

The CFIUS probe was first reported by CNN in August – weeks after it emerged that Garamendi and fellow US Rep. Mike Thompson (D-Calif.) had asked the panel and the FBI to investigate the matter.

The duo noted that Travis is a critical military transport hub known as the “Gateway to the Pacific” that serves as a key conduit for shipments to Ukraine, among other key functions.

“My concerns with the land acquisition in Solano County have always been on national security and food security,” Thompson said in a statement. “Their rapid acquisition of land around Travis Air Force Base caused concern about who was making the purchases and their ultimate goal.”

A spokesperson for Travis Air Force base confirmed that “senior officials are actively supporting all involved federal and Solano County agencies regarding the land purchases.” The spokesperson referred further questions to the Treasury Department.

The Treasury Department did not return multiple requests for comment.

When reached for comment, a Flannery Associates spokesperson said the project has “no other foreign investors” beyond those it has disclosed.

The firm has said its investors are passive and have no role in day-to-day operations.

“While most area electeds have taken an open-minded approach to the opportunity our project presents for local jobs, investments, homes for middle class families, and clean power, a couple of local politicians are unfortunately and irresponsibly spreading rumors and misinformation to insinuate that California Forever is a not an American company,” the spokesperson said.

“We have complied with all government inquiries and provided documents (including all investment agreements and subscription agreements) that unquestionably prove that over 97% of our invested capital comes from U.S. investors, and that the remaining less than 3% comes from UK and Irish investors (Patrick and John Collison, with smaller stakes held by Charles Songhurst and Thomas Mather),” the spokesperson added.

Fairfield, California mayor Catherine Moy
Fairfield, California mayor Catherine Moy is an outspoken critic of the city project. fairfield.ca.gov

So far, the list of publicly-disclosed Flannery investors includes Hoffman, Andreesen, his investment firm Andreesen Horowitz, former Sequoia Capital partner Michael Moritz, Stripe co-founders Patrick and John Collison, Chris Dixon, John Dooer, Nat Friedman, Daniel Gross and Laurene Powell Jobs, the prominent philanthropist and widow of Apple co-founder Steve Jobs.

Moritz spent nearly four decades at Sequoia Capital and helped spearhead the venture firm’s expansion into China before exiting last June. Sequoia Capital itself has not been linked to Flannery Associates or the “California Forever” project, though the House Select Committee on China recently revealed it was probing the firm’s investments and business interests in China.

Moritz did not immediately return requests for comment.

A Sequoia Capital spokesperson confirmed that the firm had received the select committee’s letter about the probe, was “reviewing it and will respond.”

Jan Sramek.
Flannery Associates CEO Jan Srakek has denied that his firm wants to build a “utopian” city.  KGO-TV

Flannery CEO Jan Sramek has scrambled to downplay the project’s ties to the tech industry, describing it as a “city of yesterday.”

Its website specifically rejects the notion that it is building a “tech utopia” and said Flannery is “not proposing a pie-in-the-sky ‘utopian’ fantasy.”

Critics, including Garamendi and Moy, argue that Sramek and his team are merely trying to reframe the project due to local backlash.

“The story has changed,” Moy said. “Any credibility he was trying to earn after being secretive for five years is being lost because he’s changing the story now. That’s what happens with people who you can’t trust.”


RECENTLY IN THE VALLEJO TIMES-HERALD
Cars on Highway 12 between Suisun City and Rio Vista. (Chris Riley/The Reporter)

California Forever form community advisory committee | Company makes statement ahead of SCWA meeting
Vallejo Times-Herald, Nov 9, 2023
>> California Forever announced a community advisory committee, full of current and formal public officials and community leaders from across Solano County. The committee, according to a press release from the company… (continued)

California Forever CEO Jan Sramek during a packed Solano County Water Agency meeting in Vacaville. (Chris Riley/The Reporter)

Turning off the tap | SCWA directs staff not to discuss Water Plus with California Forever
Vallejo Times-Herald, Nov 10, 2023
>> The Solano County Water Agency Board of Directors told its staff not to continue discussions with California Forever regarding their proposed development project in eastern Solano County.   At a regular meeting of the board Thursday evening, over 90 attendees and public commenters filled the meeting room… (continued)

Sheep graze in a plot of land east of CA 113.  (Chris Riley/The Reporter)

What would a new Solano County city mean for Vallejo? | California Forever promises high-paying jobs; officials question company’s approach
Vallejo Times-Herald, Nov 11, 2023
>> With stances ranging from skepticism to outright hostility, Vallejo officials are pushing back against what they say is a shamelessly ambitious plan to construct a new city of between 100,000 and 400,000 people in eastern Solano County…. (continued)

RECENT BAY AREA TV COVERAGE

NBC BAY AREA NEWS: ‘California Forever’ CEO shows tour of proposed site amid uphill battle with Solano County residents, leaders, by Jodi Hernandez, Nov 10, 2023

KTVU Fox News: California Forever: 1st tour of Solano County land bought for $800M under mysterious circumstances, by KTVU staff, Nov 10, 2023

KXTV ABC10 Sacramento: California Forever proposes land swap, $1M toward habitat conservation, by Devin Trubey, Krys Shahin, Nov 11, 2023


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Flannery Inc. (California Forever) Proposing Land Swap

Swap with City of Fairfield, Solano County and Solano County Water Agency would complete 15,000 acre prairie reserve near Travis AFB

A herd of horses walks in a pasture south of Travis Air Force Base in Fairfield. A group of investors, California Forever, which describes itself as the parent company of Flannery Associates, has been purchasing plots of farmland around the Air Force base from Suisun City to Rio Vista along Highway 12 in hopes of building a new tech city. (Chris Riley/The Reporter)

Vallejo Times-Herald, by Nick McConnell, November 7, 2023

California Forever sent a letter on Monday to Solano County, the City of Fairfield and the Solano County Water Agency proposing a land exchange of thousands of acres near Travis Air Force Base.

The company has offered to swap 1,573 acres of high habitat value land on Jepson Prairie near Travis Air Force Base, for 1,403 acres of pasture with medium agricultural value six to 10 miles away from the base, mostly east of Rio Dixon Road.

The letter, signed by California Forever CEO Jan Sramek, was addressed to Fairfield City Manager David Gassaway, County Administrator William Emlen and General Manager of Solano County Water Agency Chris Lee.

The letter says that California Forever is offering the exchange because it learned the parcels it purchased on the Jepson Prairie are included under the Department of Defense’s Readiness and Environmental Protection Integration program, and that its ownership of them could also pose a threat to the goals of the Solano County Habitat Conservation Plan.

“We believe this exchange proposal is a win-win transaction that makes good sense for all sides involved,” the letter reads.

A map included in the California Forever Letter shows the land involved in its exchange offer. Parcels shaded in yellow currently belong to the company, and parcels shaded in other colors currently belong to Solano County, Fairfield, or SCWA. (Courtesy image California Forever).

The letter also indicates that California Forever would provide $1 million to fund the completion of the Solano County Habitat Conservation plan. The land being offered by California Forever is the last land on the Jepson Prairie which is not currently publicly owned, according to the letter. creating the opportunity to unite one uninterrupted habitat.

“This exchange would therefore become the capstone achievement that substantially completes the preservation of the Jepson Prairie ecosystem, and creates a fully contiguous open space reserve of approximately 15,000 acres” the letter says.

The Solano County Water Agency has a meeting scheduled for Thursday at 6:30, which will be available both in person at 810 Vaca Valley Parkway and on Zoom. Its agenda, released before the letter was dated, includes an item titled “Water Supply Portfolio and Discussions with California Forever.”

The entire proposal is conditional on the approval of California Forever’s development plans in the area by the voters next November and by relevant regulatory agencies. The company said it is currently undergoing a listening tour, taking feedback from the community on how to make its plans work for Solano County residents. A more comprehensive plan, which will go in front of voters next November, will be released in January.

“Put plainly, if the voters or any regulatory agencies whose approvals would be required later do not approve our plans, the exchange agreement would terminate, we would cover all legal and other costs of the public agencies incurred in negotiating the exchange, and everything would remain the same as it is today,” the letter reads.

The offer is only on the table until Dec. 31, the letter explains, so that all of the changes can be reflected in the January plan.

“The reason to agree on this transaction now is to ensure that we can propose a more orderly plan to the voters, so that if the voters and regulators approve the proposal in the future, then the exchange automatically and immediately closes,” the letter reads.

Sramek said the REPI report and habitat plan were the main drivers of this proposal, as California Forever had no knowledge of both of those factors before the purchase of this land. Four weeks ago, when it learned of the REPI, he said, it started to think of how it might be able to get that land under Travis AFB’s control.

“I think what we want people to understand is that we are serious about the fact that we want to protect and strengthen Travis,” he said.

Sramek also said the company feels similarly about protecting open space and contributing to ecological projects in the area.

“We’ve been saying that for two months,” he said of commitments to the base and the environment, “and this is a step where we are going to change it into actions.”

The proposal would allow public shareholders to take over land of higher ecological value, and to consolidate their holdings into one place, California Forever said.

“We hope this transaction is the first of many ways that California Forever and local stakeholders can work together in a productive and collaborative fashion that benefits everyone involved,” the letter said. “We look forward to working with all stakeholders on this multi-benefit transaction, and attending public meetings where this matter is discussed to answer any questions.”


CLICK HERE TO READ MORE about the proposed Flannery Inc. land grab here on the BenIndy

Tonight, Benicia considers awarding city property to controversial nonprofit SafeQuest Solano

A SafeQuest advocate said she encountered a lawyer for the organization outside a shuttered safe house in 2021. | Illustration by Tyler Lyn Sorrow.

SafeQuest has faced eroding support and calls for an investigation into its practices after a Vallejo Sun investigation.

Vallejo Sun, by Scott Morris, November 6, 2023

BENICIA – The Benicia City Council will consider at its meeting Tuesday whether to sell or lease two city-owned buildings to be used as shelters by SafeQuest Solano, a nonprofit that provides domestic violence support services.

A proposed resolution on Tuesday’s Benicia City Council agenda does not say how much the city would charge SafeQuest to purchase or lease the property, which totals about 3,100 square feet across both buildings. Another nonprofit, House of Hope, which focuses mainly on rehabilitation facilities, would help operate the shelter, according to the resolution.

SafeQuest has faced eroding support and calls for an investigation into its practices after a Vallejo Sun investigation published in June reported that former employees said that its existing shelters were sparsely used and SafeQuest allowed an attorney for the organization to live at a shelter rented from the city of Fairfield for $1 per year.

Benicia City Manager Mario Giuliani and community development director Suzanne Thorsen did not respond to a request for comment. SafeQuest Executive Director Mary Anne Branch did not respond to written questions.

The contract with Benicia would come as the city of Fairfield considers cutting ties with SafeQuest. Following the publication of the Sun article, Fairfield issued a request for proposals to find a new operator for its shelter.

However, only SafeQuest submitted a proposal, according to Fairfield Mayor Catherine Moy. SafeQuest has sought a long-term extension of their lease since last year, but amid questions about how the property was being used, has remained on a month-to-month lease.

Moy said that she has no plans to bring a new lease for a vote by the City Council and that Fairfield City Manager David Gassaway “continues to be uncomfortable with extending the contract.”

According to Moy, Branch met with Fairfield city officials to dispute the Sun’s reporting on its shelters. SafeQuest has declined to answer any questions from the Sun and has not sought any corrections to the articles.

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Whistleblower alleges Solano domestic violence victims were refused shelter to make room for a nonprofit executive

Solano nonprofit executive lived in domestic violence safe house rented from city of Fairfield

A SafeQuest advocate said she encountered a lawyer for the organization outside a shuttered safe house in 2021. | Illustration by Tyler Lyn Sorrow.

SafeQuest Solano, the main provider of domestic violence services in Solano County, allowed an executive to live in a shelter rented from the city of Fairfield for $1 a year.

Vallejo Sun, by Scott Morris, June 28, 2023

Cassandra Chanhsy, an advocate who worked for the nonprofit SafeQuest Solano, was doing yardwork outside a Fairfield safe house for victims of domestic violence and rape in early 2021, when she was surprised to see a man walk out. Not only was it unusual to see a man at the safe house, she thought it was empty, as it had been shut down for months. Chanhsy recognized the man as Richard Bruce Paschal Jr., SafeQuest’s business officer, who typically went by his middle name.

“And I’m like, ‘What are you doing here?’” Chanhsy recalled.

“I live here,” he told her.

SafeQuest — which has provided services for victims of domestic violence in Solano County for nearly 40 years — rents the house from the city of Fairfield for $1 per year, according to the city’s contract with the organization. But Chanhsy said she hadn’t worked in the shelter since late 2019, when the organization closed it. Her manager told her and the residents that the shelter was closing because of a plumbing issue, Chanhsy recalled in an interview.

When the Fairfield house closed, Chanhsy and the roughly 10 people who were staying there went to a different safe house in Vallejo. But she occasionally returned to Fairfield as a volunteer when the grass was overgrown or leaves needed raking.

It’s unclear how long Paschal lived at the Fairfield safe house, but three other former SafeQuest employees said they were aware that Paschal lived there. One former employee who requested to remain anonymous said that SafeQuest executive director Mary Anne Branch told her that Paschal was living in the house as part of his compensation. In a brief phone interview, Paschal declined to say whether he ever lived in the house.

An anonymous complaint that was emailed to the California Governor’s Office of Emergency Services in May 2022 that the Sun obtained states that he lived there from sometime in the summer of 2020 until March 2021. “No victims were taken in instead,” it states.

Meanwhile, Chanhsy and another victim advocate said the Vallejo shelter was largely empty. One advocate who worked there for a month before she resigned provided documentation that SafeQuest turned away 10 women in that time, saying there was no room when plenty of beds were available.

When operational, the Fairfield house had a capacity of 12 people per night, according to records submitted to the city of Fairfield. An advocate who worked in the Vallejo house said that its capacity was similar. But employees like Chanhsy said those beds sat empty while they worked alone in Vallejo with nothing to do. The organization received hundreds of thousands of dollars in federal and state grant funding, yet a log of late payments obtained by the Sun shows that many employees weren’t paid on time. The records show that the organization at times owed thousands of dollars in back pay and penalties.

The lack of services draws into question a bedrock service for Solano County that governments throughout the county rely on to protect victims of violent crime. SafeQuest has operational agreements to provide advocacy for victims of sexual assault and other services with nearly every police agency in Solano County, the Solano County District Attorney’s Office and Solano County Superior Court.

Millions in funding, few services

Former employees, including Chanhsy, said that the shelters in Fairfield and Vallejo were mostly empty for two years starting in late 2019. Records the organization submitted to the city of Fairfield showed that the safe house there was used very little in 2020 and 2021, even as the city had effectively donated it to the organization for that purpose.

But SafeQuest’s services were particularly necessary in those years as the COVID-19 pandemic drove an increase in domestic violence incidents around the world. A 2021 United Nations report found there was a global “shadow pandemic” of violence against women following stay-at-home-orders. A study by the American Journal of Emergency Medicine reported a spike in domestic violence-related calls to police immediately following lockdown measures in the United States.

According to SafeQuest, there was a 9% increase in instances of domestic violence in Solano County during the first two months of the pandemic. “Meanwhile, shelters, childcare centers, and rape crisis centers are overwhelmed and understaffed,” a 2020 grant application by SafeQuest stated.

The kinds of services SafeQuest is supposed to offer — in particular, emergency housing for people escaping domestic violence and transition services — can also help to prevent homelessness as the region struggles with a crippling shortage of affordable housing.

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