The $100,000 consultants’ report to the city on the Mexican Heritage Plaza (MHP) has been completed and is available on the city’s website. However, its more than one hundred pages raise more questions than they answer. Many of those questions have to do with the consultant who wrote the report, Maribel Alvarez, and her qualifications, conflicts of interest, methods of data collection and how she was chosen.
Allow me to briefly review the situation (you can get more details from my October column on the MHP). The MHP was built and operated by “insiders,” all at a huge cost to the city’s taxpayers. This group of insiders, including a do-nothing board, ran the MHP into a financial hole. Prominent among the inside group was Supervisor Blanca Alvarado.
The current CEO of MHP, Marcela Davison Avilés, a definite “outsider,” was hired in 2005. When she arrived on her first day she found the MHP was teetering on bankruptcy and that its model was a failure. She pulled the MHP up by its bootstraps and has worked to gradually replace the do-nothing board of insiders with a very competent group, many of them prominent outsiders. The fact that the MHP is still up and running at all is a testament to her skills as a manager.
Avilés wrote a very well considered analytical report to the city manager in 2006. Her report was closely vetted by the city auditor who issued his own report that largely agreed with her conclusions and recommendations. Chief among these issues was the fact that the resident theater companies were getting a free ride to the detriment of the MHP as an institution, the main company in question being Teatro Visión, run by two immediate members of the Alvarado family.
The reports by Marcela Avilés and the city auditor provided plenty of excellent material for the city council to decide the future of the MHP. However, for reasons that I cannot see or understand, the council decided to hire two consultants, at a cost to the public of $100,000, to come up with a new report with their own recommendations. One consultant was to look at the financials and provide figures (something that had already been done by the city auditor). The other, Maribel Alvarez, was hired to write a report giving her recommendations on what the future focus of the MHP should be. Why, when it was not necessary, were these consultants hired, and why these particular consultants? Naturally, I looked into the background and qualifications of Maribel Alvarez.
What I found is that Alvarez herself could be considered a member of the old insider group. She was on Blanca Alvarado’s staff during the creation and building of the MHP. She was a co-founder of San Jose’s Moviento de Arte y Cultura Latino Americana (MACLA), along with Eva Terrasas now of the RDA. (Blanca Alvarado’s son Jaime was the first paid director of MACLA.) Alvarez and Terrasas also both worked for Mayor Susan Hammer. The committee that selected Maribel Alvarez as the consultant to write the current report included Eva Terrasas and two representatives from Teatro Visión. Did the city council know of these conflicts of interest when they hired Alvarez?
Also in question—in my mind—are Alvarez’s professional qualifications for this job. She is not an auditor. She is currently a cultural anthropologist at the University of Arizona, not a qualification to be a consultant in this case. The person hired to do this job should have had proven success and extensive experience managing and auditing like institutions. That doesn’t appear to be the case here. Why did the city council believe that Alvarez was professionally qualified to do the job?
Now to her report: In essence, Alvarez is advocating that the MHP return to its old, failed, status-quo, pre–Marcela Avilés model. Why? It was proven a failure and pronounced as so by the very competent Avilés and the city auditor.
Was our money well spent in this case?
I have invited MHP CEO Marcela Avilés to write a guest column for next Thursday. I am hoping that she will take the opportunity to give our readers her perspective on this report and the MHP’s future. I will also offer the same to the consultants for a future guest column.
HOW DOES THIS “SUNSHINE” FEEL,
MAYOR CHUCK REED AND COUNCIL?
D.O.A.
Jack,
It would also be interesting to hear what Supervisor Alvarado has to say about this column, and your previous column. I assume that you have talked to her about this issue, or have at least tried to talk to her about this issue.
Thanks for getting to the bottom of this Jack. Nobody else did. I know Maribel and Eva from when the worked on Susan’s staff. When I saw that the “independent” report was prepared by Maribel I almost lost it (ask my wife). They are both very nice and competent people in my opinion but they have no business being “independent” analysts on the MHP.
This is the future I guess. The professional media misses the elephant in the room and the concerned citizen with a blog gets the real story. Keep it up.
Alvarado’s agenda was clear from the get go when she was elected to the Council. It’s my recollection that Alvarado came on the scene when district elections were new to SJ and she wasted no time in implementing the mini-mayor approach to city governing. Jack, thanks for this expose that validates all of my suspicions. Alvarado should be held accountable for leveraging the money pit/gravy train that is the MHP.
I am personal friends with a MACLA employee who was called upon to help with the MHP consulting work. This person had only arrived in SJ about four years ago and had no knowledge of how the MHP came to be, or that it was built on the same site as the Safeway that Cesar Chavez made famous (at least on a local level). That kind of made me feel that at least one person involved with compiling the consultant’s report had the ability to be objective, but clearly from what Jack has posted today, that wasn’t enough.
Not to be overlooked is the financial audit findings was not conducted by Maribel Alvarez, rather by independent firm “Strategic Philanthropy”. There finding clear indicated poor budgeting practices and over inflated salaries, are contributors to MHP ability maintian the operations. To focus on Maribel’s credentials is somewhat irrelevant to results of audit, and Marcela’s claim that the RAP groups and city’s lack of funding are the issues.
Who voted yae and who voted nay on letting this BS consulting contract to people with conflicts?
The Mexican Heritage Plaza is a bueatiful facility. With the right guidance it should be profitable. This facility has a huge potential to make a lot of money without the Cities help. Bring in some experienced people from the Foodservice field, not more friends, but someone with a experienced track record turning things around. This is a “entertainment-foodservice” facility. Take them by the hand and show them how. Turn this into a win-win!
The key is people that know what they are doing. Stop picking on them, help them.
Plain and simple, this was Alvarado’s pet project and with the help of fellow Council lame brains she pushed it through.
It would certainly be a step towards redemption if the Mercury would investigate this and expose those who are responsible for this mess.
I join SVS in asking, isn’t it time the Grand Jury was involved?
#8 Why should MHP or their Board care about what voters and taxpayers think when Council does not hold them accountable for bad management , almost no fund raising, event that lose money , high staff salaries and questionable spending
Alvarado will get dumb San Jose taxpayers and no backbone Council to bail them out year after year after year
You don’t get it – we owe them at least 1 million year and they want more – direct from MHP Director, Board and Alvarado and no one has political backbone to challenge them or other tax wasting non profits
Oh well we should give them more tax money so they can be better managed next time – Yea while crime goes up and city services goes down
The MHP, the Retail Pavilion and the Transit Mall are just a few of the misguided projects that the planning commission and council did not think through. They fell for the glowing business cases that were made for these efforts without questioning their viability. These are all pre-Gonzo decisions so let’s not kid ourselves about how long we’ve been electing inept people to the council, which has the final say on this sort of thing. The MHP is drowning in red ink, the Pavilion became a server farm and is no longer a public space, and the transit mall continues to discourage ridership on the VTA as it has since day one and makes negotiating downtown streets on foot or by car an often frustrating experience.
As JMO pointed out elsewhere, a virtual moron can get elected with a mere 7,000 votes in some districts so it’s no wonder that so many failed projects have been rubber stamped over the years.
Your tax dollars at work, doing everything but what they’re supposed to, like providing smooth streets, well maintained parks, and adequate safety for the citizens of SJ.
Since the MHP is not going away, but does have an image problem, I propose, in the spirit of compromise and healing, that we change its name to:
“The Little Saigon Heritage Plaza”.
Ho, if they would simply compromise on “Little Saigon Business District” I’ll bet everyone would be happy with that. We’d all drop the clunky “business district” and end up with Little Saigon. Problem solved. It can still be a “business district” officially and on paper, but it would for sure be known as “Little Saigon.” And as long as it’s officially a “business district” it won’t be ignoring the fact that other ethnic groups besides Vietnamese also live and shop in that area.
Is this solution too simple for either side to see or what?
Give them one year to turn things around and make it on there own. If they don`t, “turn the facility over to the Vietnamese comunity”.
Isn’t it very interesting that no one from the failed MHC board or heavy hitters of that era have challenged Jack’s posts on this subject. Was Marabel hired as the hit man? Where is the other consultant’s report? Seems to me that some one has bamboozold the Mayor and City Council. A HUNDRED GRAND? YIKES!
Isn’t it time for the Grand Jury to get involved??
If the Mercury News can bust this soap opera wide open, I’ll buy a subscription for 10 years. The challenge goes for the San Francisco Chronical, Oakland Tribune and the New York Times as well.
LLLLLLET’S GET READY TO RUMBLEEEEEEEE!
Silicon Valley Shine
Jack,
Thanks for a very well written post. I hope Marcela takes up your offer to post next week.
I’m surprised that no one, as previous Ex Director Laura Esparsa offered anything in her defense. There was a matter of a very pricey mural that was awarded by her. Can anyone enlighten us on that one? Artist? Amount paid? Grant? City Money?
The Saigon issue rages, yet this juicy MHC subject doesn’t stir the flags atop the flag pole.
Why?
The Village Black Smith
#14
Why should any ethnic, nationality, or race have a dedicated government facility?
#10—of course not. If anyone challenges their ineptitude, a bunch of folks will call them racist.
JMO in #17 you sized up the entire MHP issue from inception quite nicely in a single sentence.
When I read about this in the Murky News, and I learned that Maribel Alvarez was the author, I immediately threw the paper in the trash.
After fishing it back out the trash I actually read the story. This is shameful, absolutely shameful.
The way that I read it was that “they” want the Plaza to go back to being small time. To me it seems like “they” want the plaza to go and feed off the same monies and politics that MACLA does, and to always be 2nd in that space.
Why Maribel couldn’t let someone else aquire a bigger shine than her beloved MACLA, right?
#3 Willow Glen Dad
You are absolutely correct and I agree with everything you say. Maribel Alvarez from all accounts is a very nice person. However, there is no way she could ever be considered to be “independent” with regards to the MHP. She was intimately involved in city politics, especially the politics of the MHP and MACLA, for many years. The fact that she took this job knowing that she was disqualified by conflicts makes her report worthless and the public money spent completely wasted. The only thing the city council can do is throw her report in the trash and disregard its contents. Alvarez should return the money she was paid. It would be the honorable thing to do.
In addition, the insider public employees and representatives from organizations that receive public funds who worked to get Alvarez appointed to this position knowing full well of their own conflicts should be reprimanded by the mayor and city council. This is not open, honest government on behalf of the people.
#2 Blue Fox
I too would love to hear what Supervisor Alvarado has to say. She and any other person involved in this matter can use all the space they want to reply right here under this post.
Jack,
Your astute posts, continue to amaze me. I am beginning to wonder if The previous Mayor left a legacy of deciples to steer this administration on to the rocks. It certainly is looking that way. Having been there many years I foresaw the end of this great idea at the hands of the “Chosen Ones”. They tried to silence me as I knew they would. Perhaps they may still succeed, but the difference is , now there is documentation to declare the obiuos.
Marcela and the City Auditor had already expressed what was needed, and yet Mayor Reed was urged to bring an independent consultant into play. Why?
Marabel Is a very able person, but in this senerio, she should have known to step away.
The last two years have proven to be a bounty for the city in profile. The MHPG and the new Board have steered this almost dead entity in a new high of public , National and International excellance, with the large turn outs at the International Mariachi Festivals.
Now, this tragic drama allowed by the city council will certainly be projected thruout the hundreds of Mariachi Festivals across this Nation.
I have known every Executive Director at the MHP, and none have ever been any where near as capable as Marcela.
The whole area called “Sal Si Puedes” is changing. No longer are it’s citizens willing to accept what was for many years neglect. The class action suit changed every thing. There are now attornys looking at still more
class action suits in all of the areas where lead exposure is prevelant. One such place is the take off and approuch at Hillview airport. The Chinese and American importers have been exposeing our hand to mouth babies for years with lead ladened toys for what will become a gereration of twisted brains.
The Mexican Heritage is the Core of this community. It will be the catalyst that will educate us all about what is neccessary to raise a child that one day may become the next Educator, Scientist, or Astronaut. A childs brain is our responcilbility.
No longer can we have people in representative roles anywhere in the city that do not take into account the health of our most prized future leaders, our hand to mouth Babies.
Marcela is that very leader that can change the playing field for us all. YES, I will help her!
I have great pride in this Gardens. Sure the RDA chose the design, but a house is not a home, unless it’s occupants make it one.
Many of us were shut out of the Gardens. Many of the artists in my Gallery had to go else where to be appreciated.
Most of us made it in our own right. We nurtured other artist. The MHPG is the hub of our city’s germination of the arts.
Yes it could have been built down town, but I belive there are no shootings at the plaza, as there have been down town. No Police patrol endlessly around the Plaza at an event.
I would attend a comedy stand up at the Plaza before I would go down town and be subjected to what goes on down town after the Improve lets out. We have the GrandView Resturant on Mt Hamilton Road with a view of the entire valley and bay to San Francisco, before a performance at the MHPG. The Sunsets are spectacular. The food is 4 star quality.
Thank You Jack for your insitefull posts on a subject that is near and dear to me and my children. like me they were turned away by the abrasive heavy handed attitudes of the previous caretakers of this magnificent Idea.
Our Garden Mayor, Tom McEnery, must be given the kudos for the Gardens of San Jose. Architect Joe Hernandez instilled this concept to our hispanic community, long before it was spoken about at city council meetings. I want to publicly thank Joe Hernandez, (no relationship to me) for helping this place become reality.
Now it is up to us to make this structure a destination for our entire village.
The Village Black Smith
The MHC has a Board of Directors, made up of a lot of nice people. How can this Board help the MHC become profitable ? How can the Board help the MHP get their head above water ? I don`t know, does anyone know ?
#22—It seems the MHP is in trouble despite the “lot of nice people” on the BOD. Perhaps it’s time for new nice people, or effective nice people who can raise $$$. After all, the primary function of a not for profit BOD is to raise dinero. There are really only 2 rules for a BOD:
1. Raise money;
2. See Rule 1.
#23—The MHP’s issues are well known to Silicon Valley philanthropy. The new BOD can only raise serious $$$ if philanthropy community believes structural problems will be fixed. Neither institutional funders nor individual donors should be expected to leverage their relationships, professional or personal, if the owner of the venue will not demonstrate capacity and/or ability to fix an issue it created. As in the venture community, investors will keep their hands on their wallets until someone leads the effort. Now the City is making that effort and is reaching out to numerous stakeholders—so is MHC. Both can and will step up … let’s see what the next chapter reveals ….
I’ve been attending events at the MHP since it opened in 1999. I personally believe Marcela is doing a terrible job. The MHP is still in debt and she has managed to alienate most minority groups. The most recent 2007 “Mariachi” festival was anything but. It featured very little mariachi music for a 4 day event. Marcela is trying to make the mariachi festival an all-inclusive event. Problem is that it dilutes the music. I wish they would just change the name of the festival to something else.
Ah, Camille.
The troubles of the MHC are simply a case, of Silicon Valley’s version of cheche la femme?
Not so fast, mujer.
If by terrible job, you mean, exhibitions that are rated “Top Ten” in the Bay area by Kenneth Baker of the SF Chron., or record breaking attendance of the mariachi festival (I guess 40,000 people must have disagreed with your “anything but” perspective ….) or the fact, that FINALLY, after almost ten years, MHC’s leadership (don’t forget there’s a Board of Directors behind every CEO) got the City of San Jose to actually deal with the problem child they created ….
Then I’ll take MHC’s current menu of leadership any day.
San Jose is supposed to be the new urban center of creative innovation.
Let’s see if the City Council lives up to that vaunted claim in deciding the fate of the largest Latino cultural center in California.
Camille, Johnathon Clark, Blanca’s Army,
Your observations from atop your pad in the tenderloin hardly gives you any insight into our Explosive performers that played for 40000 patrons of the NEW MHC Festival. You and Johnathon Clark really need to stop smoking. Shame on you Mercury news.
50 groups in the bay area that call them selves Mariachi, would do well to support the MHC. By the way, playing Quinceneras for cash is not a profession of pride. I have heard your group play. Don’t quit your day job, if you still have one.
D.O.A.
So, who among us besides Gil attended the momentous meeting last night? Did Chuck and Nora play well together?