Loading...
HomeMy WebLinkAboutLoew Emails1 From:Colunga-Lopez, Andrea Sent:Monday, November 17, 2025 4:49 PM To:Michael Loew Cc:CityClerk Subject:RE: 11-18-2025 City Council Meeting, Agenda Item 7.a Hi Mike, Thank you for your input, it has been sent to the City Council members. It is now placed in the public archive for the upcoming meeting. Best, Andrea Colunga-Lopez pronouns she/her/hers Deputy City Clerk I City Administration E AColunga@slocity.org T 805.781.7105 slocity.org Stay connected with the City by signing up for e-notifications From: Michael Loew < > Sent: Saturday, November 15, 2025 8:33 PM To: E-mail Council Website <emailcouncil@slocity.org> Subject: 11-18-2025 City Council Meeting, Agenda Item 7.a Dear Mayor Stewart and Council Members, I write to provide information relevant to the City’s consideration of new local amendments to the 2025 California Building Standards Code. The facts summarized below come directly from the City’s adopted Financial Plans, the 2024 Fee Study, and the City’s own year-end performance reporting. It is important that these discrepancies and performance indicators be transparently understood as the City evaluates additional regulatory obligations for the Building & Safety Division, and in light the $4-million surplus. I. Discrepancies Between the Fee Study and Adopted Budgets The City’s adopted Financial Plans for FY 2019–2025 show that the Building & Safety Division was programmed to generate a cumulative surplus of $7,271,935. These figures (presented in Exhibit A) reflect actual planned revenue exceeding expenditures for fee-supported services over the six-year period. 2 By contrast, Exhibit B (page 11 of the City’s 2024 Comprehensive Citywide User Fee Study) asserts that the division recovers 96% of its costs, operates at a $145,474 deficit, and incurs approximately $3.9 million annually in Building & Safety operational costs. Review of historic expenditures shows that the division has never expended the $3.9 million in annual “costs” attributed to it in the fee study. This discrepancy raises concerns under Government Code §§ 66014 and 66016, which require that development fees reflect the reasonable cost of providing the service and that cost-of-service data disclosed to the public be accurate and tied to actual expenditures. Simply put: The 2024 fee study misrepresents the Building and Safety Division’s documented financial history. II. Surplus Understated and Unfunded Mandates The Building & Safety Division’s surplus is further understated because its cost center includes Code Enforcement, a citywide general service unrelated to fee-supported permit activity. Code Enforcement expenditures exceed $500,000 annually (5 FTE). Removing this cost reveals a substantially greater surplus generated by Building & Safety services than the budget alone indicates. In addition, the City’s adoption of the 1997 Uniform Code for the Abatement of Dangerous Buildings, which is being considered as part of the Municipal Code update in Section 15.02.140 of this draft ordinance, requires the establishment of a Repair and Demolition fund, as set forth in Section 802.1 of the code. This fund is intended to support mitigation, repair, or demolition of structures deemed hazardous to life and safety. However, none of the City’s recently adopted budgets include any allocation to establish this fund. III. Division Performance Relative to Council-Adopted Standards The Year-End Performance Report presented to the Council on November 4, 2025 shows that Building & Safety did not meet several of the service-level standards established by the City Council. According to the report, only 60% of Code Enforcement cases were investigated within established timelines (target: 85%), and only 59% of building permit reviews were completed within adopted cycle times across all departments (target: 85%). These outcomes reflect constraints that have persisted across multiple budget cycles. The report also documents spending reductions that were financial in nature rather than operational. It states that “Contract Services expenditures came in 41% under budget,” due to contracts that were “paused or not initiated, and subsequently closed out.” Staff were further directed to “complete more work in-house to reduce costs.” The Year-End Performance Report is what presents financial concerns as justification for withholding resources from the Building & Safety Division. It reveals that the division is not meeting the Council’s own service-level standards, yet the report describes its unspent funds as “savings” and documents contract cancellations and spending pauses. These reductions occurred during the same period the City’s adopted budgets show a cumulative $4 million surplus. IV. City’s Response The administration’s November 4, 2025 agenda-report memo includes statements that cast false aspersions on my competence and motives. When such characterizations appear in an official, publicly distributed agenda correspondence, they are defamatory because they create a materially false impression of my actions and mislead the public about the issues raised. 3 Labor Code § 1102.5 prohibits retaliation or any action that deters an employee or former employee from disclosing information they reasonably believe evidences a violation of law or noncompliance with regulations. This protection applies to post-employment retaliation and includes attempts to discredit or publicly disparage the individual who made the disclosure. The First Amendment likewise protects public speech on matters involving public funds, legal compliance, and government operations. Their response is not new to me and is a clear example of the kind of retaliatory conduct I endured during my tenure as Chief Building Official when attempting to address these fiscal policy discrepancies and practices impacting public safety outcomes. The administration took great offense to me raising these concerns; however, regardless of any intent, conflicting financial figures and inaccurate representations must be corrected so the City’s reporting is reliable, lawful, and clear to the public. This is precisely t he fiscal oversight a City Council is elected to provide. Sincerely, Michael Loew, MPA, CBO Exhibit A: Building and Safety Division Revenue vs. Expenditures Fiscal Year Total Budgeted Revenue Actual Revenue Total Budgeted Resources Actual Expenditures Surplus 2024- 25 $4,008,849 2023-25 Financial Plan, p. 99 Not reported $3,194,956 2024-25 Supplement, p. 24 Not reported Planned: $813,893 Actual: Not Reported 2023- 24 $3,821,743 2023-25 Financial Plan, p. 99 Not reported $3,085,371 2023-25 Financial Plan, p. 168 Not reported Planned: $736,372 Actual: Not Reported 2022- 23 $3,280,700 20-21 Supplement p. 29 Not Reported $2,133,870 2023-25 Financial Plan, p. 168 $2,895,572 2024-25 Supplement, p. 24 Planned: $1,146,830 Actual: Not Reported 2021- 22 $4,471,776 22-23 Supplement p. 29 $4,297,186 2023-25 Financial Plan p. 99 $3,283,056 22-23 Supplement p. 24 $3,235,392 2023-25 Financial Plan, p. 168 Planned: $1,188,720 Actual: $1,061,794 4 2020- 21 $3,399,000 19-21 Financial Plan p. 123 $4,815,383 2022-23 Supplement, p. 29, Table G-8 $1,714,476 19-21 Financial Plan, on page 160 $2,506,262 22-23 Supplement p. 24 Planned: $1,684,524 Actual: $2,309,121 2019- 20 $3,339,000 19-21 Financial Plan p. 123 $4,036,291 21-23 Financial Plan p. 102 $1,637,404 19-21 Financial Plan, on page 160 $2,475,372 21-23 Financial Plan p. 152 Planned: $1,701,596 Actual: $1,560,919 2018- 19 Not Reported Not Reported $1,720,946 19-21 Financial Plan, p. 160 Not Reported Not Reported 2017- 18 Not Reported Not Reported $1,694,458 17-19 Financial Plan p. D4-7 $1,834,809 19-21 Financial Plan, on page 160 Not Reported 2016- 17 Not Reported Not Reported $1,721,817 17-19 Financial Plan p. D4-7 Not Reported Not Reported 2015- 16 Not Reported Not Reported $1,871,444 15-17 Financial Plan p. E-152 Not Reported Not Reported 5 Exhibit B: May 17, 2024 Fee Study Page 11 6 From:Colunga-Lopez, Andrea Sent:Monday, November 17, 2025 4:48 PM To:Michael Loew Cc:CityClerk Subject:RE: Public Comment on Item 6a Attachments:FW_ Question about cost of registry.pdf Hi Mike, Please see the attached file regarding the estimated cost of the rental registry program. Best, Andrea Colunga-Lopez pronouns she/her/hers Deputy City Clerk I City Administration E AColunga@slocity.org T 805.781.7105 slocity.org Stay connected with the City by signing up for e-notifications From: Michael Loew < > Sent: Monday, November 17, 2025 8:08 AM To: Colunga-Lopez, Andrea <AColunga@slocity.org> Cc: CityClerk <CityClerk@slocity.org> Subject: Re: Public Comment on Item 6a Hi Andrea, Is there any update on this request for those emails? It has now been 12 days since my request. Can I please have copies of the emails sent to the Council? Thank you, Mike On Wed, Nov 5, 2025 at 1:58 PM Michael Loew < > wrote: Thanks Andrea, Last night at the council meeting the city manager made reference to internal emails that were public information, but only sent to the council. Can I please have copies of those emails? Mike Sent from my iPhone On Nov 5, 2025, at 9:22 AM, Colunga-Lopez, Andrea <AColunga@slocity.org> wrote: 7 Hi Mike, There was no agenda correspondence not provided to City Council and publicly archived. Any correspondence received and/or finalized after the deadline has since been publicly archived and sent to City Council as of this morning. Best, Andrea Colunga-Lopez pronouns she/her/hers Deputy City Clerk I <image001.png> City Administration E AColunga@slocity.org T 805.781.7105 slocity.org <image002.png> <image003.png> <image004.png> <image005.png> <image006.png> Stay connected with the City by signing up for e-notifications From: Michael Loew < > Sent: Wednesday, November 5, 2025 7:06 AM To: Colunga-Lopez, Andrea <AColunga@slocity.org> Subject: Re: Public Comment on Item 6a Hi Andrea, Thank you for this. Can I please have a copy of the communications sent to the Council leading up to the meeting that were not posted to the archive as agenda correspondences? Best, Mike 8 On Mon, Nov 3, 2025 at 9:24 AM Colunga-Lopez, Andrea <AColunga@slocity.org> wrote: Hi Michael, Thank you for your input, it has been sent to the City Council members. It is now placed in the public archive for the upcoming meeting. Best, Andrea Colunga-Lopez pronouns she/her/hers Deputy City Clerk I <image001.png> City Administration E AColunga@slocity.org T 805.781.7105 slocity.org <image002.png> <image003.png> <image004.png> <image005.png> <image006.png> Stay connected with the City by signing up for e-notifications From: Michael Loew < > Sent: Sunday, November 2, 2025 6:45 PM To: E-mail Council Website <emailcouncil@slocity.org> Subject: Public Comment on Item 6a Dear Mayor Stewart and City Council Members, My name is Michael Loew, I am a resident and homeowner in the city. I served as the City’s Chief Building Official from June 2023 through June 2025. I am writing to provide supplemental context regarding Building & Safety operations during that period and to support the Council’s review of resource allocation, service delivery capacity, and policy impacts on public safety. 9 Policy of Revenue Generation Over Service Delivery The Building and Safety division's core challenge is a structural paradox embedded in the city's fiscal policy. This was brought into sharp focus during the 2024 fee study. The City’s contracted consultant's analysis, based on past years of the city's own spending data, concluded that the division was under-resourced relative to the fees it collected. This resulted in a calculation that proposed to reduce fee rates by 35%. To avert a significant revenue loss, I was directed to develop an entirely new methodology, one based on the time and resources it should take to properly administer and enforce the building code. My analysis successfully justified maintaining the existing revenues, an action that preserved approximately $1 million in annual revenue for the department. The logical and ethical next step was to fund the division to the level its own fee-justification model proved was necessary. I submitted corresponding significant operating budget requests of over $500,000 (half of the calculation) to begin to align our resources with our mandated responsibilities during the 24-25 fiscal year. Those requests were largely denied. My efforts to align resources with responsibilities extended beyond those budget requests. I identified a significant public safety risk and revenue opportunity in the City’s unaddressed backlog of more than 2,000 expired permits since 2020. As part of the fee study, I developed and proposed new fees specifically to address this backlog, which the Council subsequently adopted. This initiative was not merely punitive; it was a strategic plan to generate an estimated $1.2 million in revenue, designed explicitly to help the department weather the exact kind of economic uncertainty in development that later prompted budget cuts. However, despite Council approval, I was denied the resources and operational discretion to implement this revenue-positive, public-safety initiative. The Operational Consequences As the report correctly notes, the City saw a "decline compared to previous years" in new development, which was "reflected in permitting and inspection volumes." However, this slowdown in revenue-generating activity was met with a historic surge in our non-revenue- generating public-safety duties. The report confirms that "The Code Enforcement team processed a record number of investigation requests." Instead of shifting resources to meet this record-breaking demand for code enforcement, the administration used the decline in permit revenue to justify system-wide austerity measures that crippled our ability to function. At the same time, according to the report, the Planning Division "achieved greater stability through the hiring of three interns and permanent staff," while the Building and Safety division was directed to "complete more work in-house to reduce costs." This directive was coupled with a significant expansion of my own duties. I was tasked with rebuilding another team by assuming the responsibilities of the vacant Supervising Civil Engineer, overseeing the day-to-day operations and recruitment for the Engineering Development Review Team, including the new Supervising Civil Engineer. The strain on the building division was further compounded by the director's determination to divert code enforcement resources away from core public-safety risks, such as dangerous buildings and expired permit enforcement, and towards a new fraternity and sorority party enforcement initiative. I was explicitly excluded from these efforts by the director and never consulted or asked to speak to the grand jury on the matter. I was denied the staff required to address the thousands of pending permit violations affecting the broader community's safety. Public Hazard at 1150 Laurel Lane 10 1150 Laurel Lane represents a systemic failure by the City's handling of the "dangerous building," a major public safety enforcement case.  My initial attempt at enforcement against the project began in June 2024, but was halted by Director Tway who instructed me to extend the property's Temporary Certificates of Occupancy.  For the next five months, I was consistently pressured to extend occupancy authorizations, and Director Tway prevented me from issuing a Notice of Violation.  It was only when I refused to sign another TCO extension in November 2024 that the administration was forced to confront the issue, and I was again directed not to send the Notice of Violation until I met with the City Manager.  City Manager MacDonald met with me on December 18, 2024. The Fire Chief declared the building too hazardous for his crews to enter in the event of an emergency, and I presented detailed inspector reports confirming the building’s rapid decay.  The response from leadership was not immediate action, but an instruction to delay enforcement until after Christmas because issuing a notice before would be “immoral.”  It took an additional three months of internal pressure before I was finally able to issue a formal Notice of Violation in March 2025, condemning parts of the structure.  Just days before the formal appeal hearing, on May 1, 2024, the City itself undermined the condemnation by participating in the "Bike Month" event on the hazardous property. This case presents a serious and unmitigated public safety risk given its proximity to a public elementary school and public parks. The 17 acre property was supposed to provide hundreds of housing units in a core location for the city. However, any future prospect of housing or development at this location will now be impeded by the millions of dollars worth of substandard conditions of the 70-year-old building, and the over $50 million dollars of debt that has been reported on the property. Community-Wide Consequences The culmination of a record-breaking enforcement workload, constrained resources, and active administrative obstacles created an unsustainable work environment, leading to my constructive discharge in June of this year. It is critical for the Council to know that I am the eighth Building Official hired by the City in the last 12 years. This is not a series of isolated departures; it is a clear pattern of institutional instability driven by flawed fiscal policy. For over a decade, the City has collected an estimated $10 million more in fees for review and inspection services than it has spent providing them. This is not a budget surplus, but represents a decade of public funds collected for services that were not fully rendered. The consequences are now etched into our community's landscape in the derelict and 11 uninhabitable properties like "The Sub," in the unresolved safety risks posed by thousands of expired permits, in the dangerous conditions at 1150 Laurel Lane, and in the frequent reports of substandard living conditions from local tenants. All the while, the City Council continues to adopt new policies for the Building & Safety division to enforce, such as single-use plastics and polystyrene restrictions, shopping cart management, and energy efficiency ordinances. The City collects fees based on a promise of safety and service. It is imperative that the Building & Safety division be fully equipped to deliver on that promise. I urge the Council to interrogate the allocations of resources for the Community Development Department, and to begin providing adequate funding for a public safety program that meets the needs and demands of our community. Sincerely, Michael Loew, MPA, CBO From:McDonald, Whitney To:CityClerk Subject:FW: Question about cost of registry Date:Monday, November 17, 2025 10:28:07 AM Attachments:image001.png image002.png image003.png image004.png image005.png image006.png From: McDonald, Whitney <WMcDonal@slocity.org> Sent: Monday, November 3, 2025 8:27 PM To: Tway, Timothea (Timmi) <TTway@slocity.org>; Hermann, Greg <GHermann@slocity.org>; Collins, Scott <SCollins@slocity.org> Subject: RE: Question about cost of registry BCC: Mayor and Council Dear Mayor and Council, Timmi has provided some estimated costs of a rental registry program below, which I am forwarding in case it is helpful as we head into the year-end budget report tomorrow. These costs are estimates, and are broken out as start-up costs in year one of a program (approx. $300,000) and then estimated ongoing costs thereafter (approx. $240,000/year). Best, Whitney From: Tway, Timothea (Timmi) <TTway@slocity.org> Sent: Monday, November 3, 2025 2:37 PM To: Hermann, Greg <GHermann@slocity.org>; McDonald, Whitney <WMcDonal@slocity.org>; Collins, Scott <SCollins@slocity.org> Subject: Question about cost of registry Hi team, Here is some information that we have estimated related to the cost of a rental registry (this is rough, and based on our conversations we have had with other jurisdictions thus far and is based on a registry that uses an actual software platform, not an excel spreadsheet generated through business license filing). The estimates below are the direct costs, there would likely be non-direct costs that are harder to estimate (ongoing management level support, depending on how registry roll out goes, etc.) One time costs (annual estimate for roll-out): approx. $300,000 Software: $60-70k (software is more expensive first year because of configuration, testing, training, and integration with existing systems necessary) Outreach/education: $50k (mailers, outreach, advertisement, meetings, events) Staffing: $180,000 (full time planner for program/policy development and estimated ¼ IT staff and ¼ time legal staff) Ongoing costs: (annual estimate for when program is established): approx. $240,000 Software: $40-50k annual (would increase over time, proposal I received for estimate shows 5% increase in cost per year) Staffing: $190,000 (full time admin specialist for public facing questions/running the registry/outreach/enforcement and ½ time housing planner and ¼ legal staff ongoing) I hope this is helpful, if there is anything else you need let me know. Timothea (Timmi) Tway Director of Community Development Community Development 919 Palm, San Luis Obispo, CA 93401-3249 E TTway@slocity.org T 805.781.7187 slocity.org Stay connected with the City by signing up for e-notifications 12 From:Michael Loew < > Sent:Monday, November 17, 2025 8:08 AM To:Colunga-Lopez, Andrea Cc:CityClerk Subject:Re: Public Comment on Item 6a Hi Andrea, Is there any update on this request for those emails? It has now been 12 days since my request. Can I please have copies of the emails sent to the Council? Thank you, Mike On Wed, Nov 5, 2025 at 1:58 PM Michael Loew < > wrote: Thanks Andrea, Last night at the council meeting the city manager made reference to internal emails that were public information, but only sent to the council. Can I please have copies of those emails? Mike Sent from my iPhone On Nov 5, 2025, at 9:22 AM, Colunga-Lopez, Andrea <AColunga@slocity.org> wrote: Hi Mike, There was no agenda correspondence not provided to City Council and publicly archived. Any correspondence received and/or finalized after the deadline has since been publicly archived and sent to City Council as of this morning. Best, Andrea Colunga-Lopez pronouns she/her/hers Deputy City Clerk I <image001.png> City Administration E AColunga@slocity.org T 805.781.7105 slocity.org <image002.png> 13 <image003.png> <image004.png> <image005.png> <image006.png> Stay connected with the City by signing up for e-notifications From: Michael Loew < > Sent: Wednesday, November 5, 2025 7:06 AM To: Colunga-Lopez, Andrea <AColunga@slocity.org> Subject: Re: Public Comment on Item 6a Hi Andrea, Thank you for this. Can I please have a copy of the communications sent to the Council leading up to the meeting that were not posted to the archive as agenda correspondences? Best, Mike On Mon, Nov 3, 2025 at 9:24 AM Colunga-Lopez, Andrea <AColunga@slocity.org> wrote: Hi Michael, Thank you for your input, it has been sent to the City Council members. It is now placed in the public archive for the upcoming meeting. Best, Andrea Colunga-Lopez pronouns she/her/hers Deputy City Clerk I <image001.png> 14 City Administration E AColunga@slocity.org T 805.781.7105 slocity.org <image002.png> <image003.png> <image004.png> <image005.png> <image006.png> Stay connected with the City by signing up for e-notifications From: Michael Loew < > Sent: Sunday, November 2, 2025 6:45 PM To: E-mail Council Website <emailcouncil@slocity.org> Subject: Public Comment on Item 6a Dear Mayor Stewart and City Council Members, My name is Michael Loew, I am a resident and homeowner in the city. I served as the City’s Chief Building Official from June 2023 through June 2025. I am writing to provide supplemental context regarding Building & Safety operations during that period and to support the Council’s review of resource allocation, service delivery capacity, and policy impacts on public safety. Policy of Revenue Generation Over Service Delivery The Building and Safety division's core challenge is a structural paradox embedded in the city's fiscal policy. This was brought into sharp focus during the 2024 fee study. The City’s contracted consultant's analysis, based on past years of the city's own spending data, concluded that the division was under-resourced relative to the fees it collected. This resulted in a calculation that proposed to reduce fee rates by 35%. To avert a significant revenue loss, I was directed to develop an entirely new methodology, one based on the time and resources it should take to properly administer and enforce the building code. My analysis successfully justified maintaining the existing revenues, an action that preserved approximately $1 million in annual revenue for the department. The logical and ethical next step was to fund the division to the level its own fee-justification model proved was necessary. I submitted corresponding significant operating budget requests of over $500,000 (half of the calculation) to begin to align our resources with our mandated responsibilities during the 24-25 fiscal year. Those requests were largely denied. 15 My efforts to align resources with responsibilities extended beyond those budget requests. I identified a significant public safety risk and revenue opportunity in the City’s unaddressed backlog of more than 2,000 expired permits since 2020. As part of the fee study, I developed and proposed new fees specifically to address this backlog, which the Council subsequently adopted. This initiative was not merely punitive; it was a strategic plan to generate an estimated $1.2 million in revenue, designed explicitly to help the department weather the exact kind of economic uncertainty in development that later prompted budget cuts. However, despite Council approval, I was denied the resources and operational discretion to implement this revenue-positive, public-safety initiative. The Operational Consequences As the report correctly notes, the City saw a "decline compared to previous years" in new development, which was "reflected in permitting and inspection volumes." However, this slowdown in revenue-generating activity was met with a historic surge in our non-revenue- generating public-safety duties. The report confirms that "The Code Enforcement team processed a record number of investigation requests." Instead of shifting resources to meet this record-breaking demand for code enforcement, the administration used the decline in permit revenue to justify system-wide austerity measures that crippled our ability to function. At the same time, according to the report, the Planning Division "achieved greater stability through the hiring of three interns and permanent staff," while the Building and Safety division was directed to "complete more work in-house to reduce costs." This directive was coupled with a significant expansion of my own duties. I was tasked with rebuilding another team by assuming the responsibilities of the vacant Supervising Civil Engineer, overseeing the day-to-day operations and recruitment for the Engineering Development Review Team, including the new Supervising Civil Engineer. The strain on the building division was further compounded by the director's determination to divert code enforcement resources away from core public-safety risks, such as dangerous buildings and expired permit enforcement, and towards a new fraternity and sorority party enforcement initiative. I was explicitly excluded from these efforts by the director and never consulted or asked to speak to the grand jury on the matter. I was denied the staff required to address the thousands of pending permit violations affecting the broader community's safety. Public Hazard at 1150 Laurel Lane 1150 Laurel Lane represents a systemic failure by the City's handling of the "dangerous building," a major public safety enforcement case.  My initial attempt at enforcement against the project began in June 2024, but was halted by Director Tway who instructed me to extend the property's Temporary Certificates of Occupancy.  For the next five months, I was consistently pressured to extend occupancy authorizations, and Director Tway prevented me from issuing a Notice of Violation.  It was only when I refused to sign another TCO extension in November 2024 that the administration was forced to confront the issue, and I was again directed not to send the Notice of Violation until I met with the City Manager. 16  City Manager MacDonald met with me on December 18, 2024. The Fire Chief declared the building too hazardous for his crews to enter in the event of an emergency, and I presented detailed inspector reports confirming the building’s rapid decay.  The response from leadership was not immediate action, but an instruction to delay enforcement until after Christmas because issuing a notice before would be “immoral.”  It took an additional three months of internal pressure before I was finally able to issue a formal Notice of Violation in March 2025, condemning parts of the structure.  Just days before the formal appeal hearing, on May 1, 2024, the City itself undermined the condemnation by participating in the "Bike Month" event on the hazardous property. This case presents a serious and unmitigated public safety risk given its proximity to a public elementary school and public parks. The 17 acre property was supposed to provide hundreds of housing units in a core location for the city. However, any future prospect of housing or development at this location will now be impeded by the millions of dollars worth of substandard conditions of the 70-year-old building, and the over $50 million dollars of debt that has been reported on the property. Community-Wide Consequences The culmination of a record-breaking enforcement workload, constrained resources, and active administrative obstacles created an unsustainable work environment, leading to my constructive discharge in June of this year. It is critical for the Council to know that I am the eighth Building Official hired by the City in the last 12 years. This is not a series of isolated departures; it is a clear pattern of institutional instability driven by flawed fiscal policy. For over a decade, the City has collected an estimated $10 million more in fees for review and inspection services than it has spent providing them. This is not a budget surplus, but represents a decade of public funds collected for services that were not fully rendered. The consequences are now etched into our community's landscape in the derelict and uninhabitable properties like "The Sub," in the unresolved safety risks posed by thousands of expired permits, in the dangerous conditions at 1150 Laurel Lane, and in the frequent reports of substandard living conditions from local tenants. All the while, the City Council continues to adopt new policies for the Building & Safety division to enforce, such as single-use plastics and polystyrene restrictions, shopping cart management, and energy efficiency ordinances. The City collects fees based on a promise of safety and service. It is imperative that the Building & Safety division be fully equipped to deliver on that promise. I urge the Council to interrogate the allocations of resources for the Community Development Department, and to begin providing adequate funding for a public safety program that meets the needs and demands of our community. Sincerely, Michael Loew, MPA, CBO 17 From:Michael Loew < > Sent:Saturday, November 15, 2025 8:33 PM To:E-mail Council Website Subject:11-18-2025 City Council Meeting, Agenda Item 7.a Dear Mayor Stewart and Council Members, I write to provide information relevant to the City’s consideration of new local amendments to the 2025 California Building Standards Code. The facts summarized below come directly from the City’s adopted Financial Plans, the 2024 Fee Study, and the City’s own year-end performance reporting. It is important that these discrepancies and performance indicators be transparently understood as the City evaluates additional regulatory obligations for the Building & Safety Division, and in light the $4-million surplus. I. Discrepancies Between the Fee Study and Adopted Budgets The City’s adopted Financial Plans for FY 2019–2025 show that the Building & Safety Division was programmed to generate a cumulative surplus of $7,271,935. These figures (presented in Exhibit A) reflect actual planned revenue exceeding expenditures for fee-supported services over the six-year period. By contrast, Exhibit B (page 11 of the City’s 2024 Comprehensive Citywide User Fee Study) asserts that the division recovers 96% of its costs, operates at a $145,474 deficit, and incurs approximately $3.9 million annually in Building & Safety operational costs. Review of historic expenditures shows that the division has never expended the $3.9 million in annual “costs” attributed to it in the fee study. This discrepancy raises concerns under Government Code §§ 66014 and 66016, which require that development fees reflect the reasonable cost of providing the service and that cost-of-service data disclosed to the public be accurate and tied to actual expenditures. Simply put: The 2024 fee study misrepresents the Building and Safety Division’s documented financial history. II. Surplus Understated and Unfunded Mandates The Building & Safety Division’s surplus is further understated because its cost center includes Code Enforcement, a citywide general service unrelated to fee-supported permit activity. Code Enforcement expenditures exceed $500,000 annually (5 FTE). Removing this cost reveals a substantially greater surplus generated by Building & Safety services than the budget alone indicates. In addition, the City’s adoption of the 1997 Uniform Code for the Abatement of Dangerous Buildings, which is being considered as part of the Municipal Code update in Section 15.02.140 of this draft ordinance, requires the establishment of a Repair and Demolition fund, as set forth in Section 802.1 of the code. This fund is intended to support mitigation, repair, or demolition of structures deemed hazardous to life and safety. However, none of the City’s recently adopted budgets include any allocation to establish this fund. III. Division Performance Relative to Council-Adopted Standards The Year-End Performance Report presented to the Council on November 4, 2025 shows that Building & Safety did not meet several of the service-level standards established by the City Council. According to the 18 report, only 60% of Code Enforcement cases were investigated within established timelines (target: 85%), and only 59% of building permit reviews were completed within adopted cycle times across all departments (target: 85%). These outcomes reflect constraints that have persisted across multiple budget cycles. The report also documents spending reductions that were financial in nature rather than operational. It states that “Contract Services expenditures came in 41% under budget,” due to contracts that were “paused or not initiated, and subsequently closed out.” Staff were further directed to “complete more work in-house to reduce costs.” The Year-End Performance Report is what presents financial concerns as justification for withholding resources from the Building & Safety Division. It reveals that the division is not meeting the Council’s own service-level standards, yet the report describes its unspent funds as “savings” and documents contract cancellations and spending pauses. These reductions occurred during the same period the City’s adopted budgets show a cumulative $4 million surplus. IV. City’s Response The administration’s November 4, 2025 agenda-report memo includes statements that cast false aspersions on my competence and motives. When such characterizations appear in an official, publicly distributed agenda correspondence, they are defamatory because they create a materially false impression of my actions and mislead the public about the issues raised. Labor Code § 1102.5 prohibits retaliation or any action that deters an employee or former employee from disclosing information they reasonably believe evidences a violation of law or noncompliance with regulations. This protection applies to post-employment retaliation and includes attempts to discredit or publicly disparage the individual who made the disclosure. The First Amendment likewise protects public speech on matters involving public funds, legal compliance, and government operations. Their response is not new to me and is a clear example of the kind of retaliatory conduct I endured during my tenure as Chief Building Official when attempting to address these fiscal policy discrepancies and practices impacting public safety outcomes. The administration took great offense to me raising these concerns; however, regardless of any intent, conflicting financial figures and inaccurate representations must be corrected so the City’s reporting is reliable, lawful, and clear to the public. This is precisely t he fiscal oversight a City Council is elected to provide. Sincerely, Michael Loew, MPA, CBO Exhibit A: Building and Safety Division Revenue vs. Expenditures Fiscal Year Total Budgeted Revenue Actual Revenue Total Budgeted Resources Actual Expenditures Surplus 2024- 25 $4,008,849 2023-25 Financial Plan, p. 99 Not reported $3,194,956 2024-25 Supplement, p. 24 Not reported Planned: $813,893 Actual: Not Reported 19 2023- 24 $3,821,743 2023-25 Financial Plan, p. 99 Not reported $3,085,371 2023-25 Financial Plan, p. 168 Not reported Planned: $736,372 Actual: Not Reported 2022- 23 $3,280,700 20-21 Supplement p. 29 Not Reported $2,133,870 2023-25 Financial Plan, p. 168 $2,895,572 2024-25 Supplement, p. 24 Planned: $1,146,830 Actual: Not Reported 2021- 22 $4,471,776 22-23 Supplement p. 29 $4,297,186 2023-25 Financial Plan p. 99 $3,283,056 22-23 Supplement p. 24 $3,235,392 2023-25 Financial Plan, p. 168 Planned: $1,188,720 Actual: $1,061,794 2020- 21 $3,399,000 19-21 Financial Plan p. 123 $4,815,383 2022-23 Supplement, p. 29, Table G-8 $1,714,476 19-21 Financial Plan, on page 160 $2,506,262 22-23 Supplement p. 24 Planned: $1,684,524 Actual: $2,309,121 2019- 20 $3,339,000 19-21 Financial Plan p. 123 $4,036,291 21-23 Financial Plan p. 102 $1,637,404 19-21 Financial Plan, on page 160 $2,475,372 21-23 Financial Plan p. 152 Planned: $1,701,596 Actual: $1,560,919 2018- 19 Not Reported Not Reported $1,720,946 19-21 Financial Plan, p. 160 Not Reported Not Reported 2017- 18 Not Reported Not Reported $1,694,458 17-19 Financial Plan p. D4-7 $1,834,809 19-21 Financial Plan, on page 160 Not Reported 20 2016- 17 Not Reported Not Reported $1,721,817 17-19 Financial Plan p. D4-7 Not Reported Not Reported 2015- 16 Not Reported Not Reported $1,871,444 15-17 Financial Plan p. E-152 Not Reported Not Reported Exhibit B: May 17, 2024 Fee Study Page 11 21 From:Michael Loew < > Sent:Wednesday, November 5, 2025 1:58 PM To:Colunga-Lopez, Andrea Cc:CityClerk Subject:Re: Public Comment on Item 6a Thanks Andrea, Last night at the council meeting the city manager made reference to internal emails that were public information, but only sent to the council. Can I please have copies of those emails? Mike Sent from my iPhone On Nov 5, 2025, at 9:22 AM, Colunga-Lopez, Andrea <AColunga@slocity.org> wrote: Hi Mike, There was no agenda correspondence not provided to City Council and publicly archived. Any correspondence received and/or finalized after the deadline has since been publicly archived and sent to City Council as of this morning. Best, Andrea Colunga-Lopez pronouns she/her/hers Deputy City Clerk I <image001.png> City Administration E AColunga@slocity.org T 805.781.7105 slocity.org <image002.png> <image003.png> <image004.png> <image005.png> <image006.png> Stay connected with the City by signing up for e-notifications From: Michael Loew < > Sent: Wednesday, November 5, 2025 7:06 AM 22 To: Colunga-Lopez, Andrea <AColunga@slocity.org> Subject: Re: Public Comment on Item 6a Hi Andrea, Thank you for this. Can I please have a copy of the communications sent to the Council leading up to the meeting that were not posted to the archive as agenda correspondences? Best, Mike On Mon, Nov 3, 2025 at 9:24 AM Colunga-Lopez, Andrea <AColunga@slocity.org> wrote: Hi Michael, Thank you for your input, it has been sent to the City Council members. It is now placed in the public archive for the upcoming meeting. Best, Andrea Colunga-Lopez pronouns she/her/hers Deputy City Clerk I <image001.png> City Administration E AColunga@slocity.org T 805.781.7105 slocity.org <image002.png> <image003.png> <image004.png> <image005.png> <image006.png> Stay connected with the City by signing up for e-notifications 23 From: Michael Loew < > Sent: Sunday, November 2, 2025 6:45 PM To: E-mail Council Website <emailcouncil@slocity.org> Subject: Public Comment on Item 6a Dear Mayor Stewart and City Council Members, My name is Michael Loew, I am a resident and homeowner in the city. I served as the City’s Chief Building Official from June 2023 through June 2025. I am writing to provide supplemental context regarding Building & Safety operations during that period and to support the Council’s review of resource allocation, service delivery capacity, and policy impacts on public safety. Policy of Revenue Generation Over Service Delivery The Building and Safety division's core challenge is a structural paradox embedded in the city's fiscal policy. This was brought into sharp focus during the 2024 fee study. The City’s contracted consultant's analysis, based on past years of the city's own spending data, concluded that the division was under-resourced relative to the fees it collected. This resulted in a calculation that proposed to reduce fee rates by 35%. To avert a significant revenue loss, I was directed to develop an entirely new methodology, one based on the time and resources it should take to properly administer and enforce the building code. My analysis successfully justified maintaining the existing revenues, an action that preserved approximately $1 million in annual revenue for the department. The logical and ethical next step was to fund the division to the level its own fee-justification model proved was necessary. I submitted corresponding significant operating budget requests of over $500,000 (half of the calculation) to begin to align our resources with our mandated responsibilities during the 24-25 fiscal year. Those requests were largely denied. My efforts to align resources with responsibilities extended beyond those budget requests. I identified a significant public safety risk and revenue opportunity in the City’s unaddressed backlog of more than 2,000 expired permits since 2020. As part of the fee study, I developed and proposed new fees specifically to address this backlog, which the Council subsequently adopted. This initiative was not merely punitive; it was a strategic plan to generate an estimated $1.2 million in revenue, designed explicitly to help the department weather the exact kind of economic uncertainty in development that later prompted budget cuts. However, despite Council approval, I was denied the resources and operational discretion to implement this revenue-positive, public-safety initiative. The Operational Consequences As the report correctly notes, the City saw a "decline compared to previous years" in new development, which was "reflected in permitting and inspection volumes." However, this slowdown in revenue-generating activity was met with a historic surge in our non-revenue- generating public-safety duties. The report confirms that "The Code Enforcement team processed a record number of investigation requests." Instead of shifting resources to meet this record-breaking demand for code enforcement, the administration used the decline in permit revenue to justify system-wide austerity measures that crippled our ability to function. At the same time, according to the report, the Planning 24 Division "achieved greater stability through the hiring of three interns and permanent staff," while the Building and Safety division was directed to "complete more work in-house to reduce costs." This directive was coupled with a significant expansion of my own duties. I was tasked with rebuilding another team by assuming the responsibilities of the vacant Supervising Civil Engineer, overseeing the day-to-day operations and recruitment for the Engineering Development Review Team, including the new Supervising Civil Engineer. The strain on the building division was further compounded by the director's determination to divert code enforcement resources away from core public-safety risks, such as dangerous buildings and expired permit enforcement, and towards a new fraternity and sorority party enforcement initiative. I was explicitly excluded from these efforts by the director and never consulted or asked to speak to the grand jury on the matter. I was denied the staff required to address the thousands of pending permit violations affecting the broader community's safety. Public Hazard at 1150 Laurel Lane 1150 Laurel Lane represents a systemic failure by the City's handling of the "dangerous building," a major public safety enforcement case. 1. My initial attempt at enforcement against the project began in June 2024, but was halted by Director Tway who instructed me to extend the property's Temporary Certificates of Occupancy. 2. For the next five months, I was consistently pressured to extend occupancy authorizations, and Director Tway prevented me from issuing a Notice of Violation. 3. It was only when I refused to sign another TCO extension in November 2024 that the administration was forced to confront the issue, and I was again directed not to send the Notice of Violation until I met with the City Manager. 4. City Manager MacDonald met with me on December 18, 2024. The Fire Chief declared the building too hazardous for his crews to enter in the event of an emergency, and I presented detailed inspector reports confirming the building’s rapid decay. 5. The response from leadership was not immediate action, but an instruction to delay enforcement until after Christmas because issuing a notice before would be “immoral.” 6. It took an additional three months of internal pressure before I was finally able to issue a formal Notice of Violation in March 2025, condemning parts of the structure. 7. Just days before the formal appeal hearing, on May 1, 2024, the City itself undermined the condemnation by participating in the "Bike Month" event on the hazardous property. This case presents a serious and unmitigated public safety risk given its proximity to a public elementary school and public parks. The 17 acre property was supposed to provide hundreds of housing units in a core location for the city. However, any future prospect of housing or 25 development at this location will now be impeded by the millions of dollars worth of substandard conditions of the 70-year-old building, and the over $50 million dollars of debt that has been reported on the property. Community-Wide Consequences The culmination of a record-breaking enforcement workload, constrained resources, and active administrative obstacles created an unsustainable work environment, leading to my constructive discharge in June of this year. It is critical for the Council to know that I am the eighth Building Official hired by the City in the last 12 years. This is not a series of isolated departures; it is a clear pattern of institutional instability driven by flawed fiscal policy. For over a decade, the City has collected an estimated $10 million more in fees for review and inspection services than it has spent providing them. This is not a budget surplus, but represents a decade of public funds collected for services that were not fully rendered. The consequences are now etched into our community's landscape in the derelict and uninhabitable properties like "The Sub," in the unresolved safety risks posed by thousands of expired permits, in the dangerous conditions at 1150 Laurel Lane, and in the frequent reports of substandard living conditions from local tenants. All the while, the City Council continues to adopt new policies for the Building & Safety division to enforce, such as single-use plastics and polystyrene restrictions, shopping cart management, and energy efficiency ordinances. The City collects fees based on a promise of safety and service. It is imperative that the Building & Safety division be fully equipped to deliver on that promise. I urge the Council to interrogate the allocations of resources for the Community Development Department, and to begin providing adequate funding for a public safety program that meets the needs and demands of our community. Sincerely, Michael Loew, MPA, CBO 26 From:Colunga-Lopez, Andrea Sent:Wednesday, November 5, 2025 9:22 AM To:Michael Loew Cc:CityClerk Subject:RE: Public Comment on Item 6a Hi Mike, There was no agenda correspondence not provided to City Council and publicly archived. Any correspondence received and/or finalized after the deadline has since been publicly archived and sent to City Council as of this morning. Best, Andrea Colunga-Lopez pronouns she/her/hers Deputy City Clerk I City Administration E AColunga@slocity.org T 805.781.7105 slocity.org Stay connected with the City by signing up for e-notifications From: Michael Loew < > Sent: Wednesday, November 5, 2025 7:06 AM To: Colunga-Lopez, Andrea <AColunga@slocity.org> Subject: Re: Public Comment on Item 6a Hi Andrea, Thank you for this. Can I please have a copy of the communications sent to the Council leading up to the meeting that were not posted to the archive as agenda correspondences? Best, Mike On Mon, Nov 3, 2025 at 9:24 AM Colunga-Lopez, Andrea <AColunga@slocity.org> wrote: Hi Michael, 27 Thank you for your input, it has been sent to the City Council members. It is now placed in the public archive for the upcoming meeting. Best, Andrea Colunga-Lopez pronouns she/her/hers Deputy City Clerk I City Administration E AColunga@slocity.org T 805.781.7105 slocity.org Stay connected with the City by signing up for e-notifications From: Michael Loew < > Sent: Sunday, November 2, 2025 6:45 PM To: E-mail Council Website <emailcouncil@slocity.org> Subject: Public Comment on Item 6a Dear Mayor Stewart and City Council Members, My name is Michael Loew, I am a resident and homeowner in the city. I served as the City’s Chief Building Official from June 2023 through June 2025. I am writing to provide supplemental context regarding Building & Safety operations during that period and to support the Council’s review of resource allocation, service delivery capacity, and policy impacts on public safety. Policy of Revenue Generation Over Service Delivery The Building and Safety division's core challenge is a structural paradox embedded in the city's fiscal policy. This was brought into sharp focus during the 2024 fee study. The City’s contracted consultant's analysis, based on past years of the city's own spending data, concluded that the division was under- resourced relative to the fees it collected. This resulted in a calculation that proposed to reduce fee rates by 35%. To avert a significant revenue loss, I was directed to develop an entirely new methodology, one based on the time and resources it should take to properly administer and enforce the building code. My analysis successfully justified maintaining the existing revenues, an action that preserved approximately $1 million in annual revenue for the department. The logical and ethical next step was to fund the division to the level its 28 own fee-justification model proved was necessary. I submitted corresponding significant operating budget requests of over $500,000 (half of the calculation) to begin to align our resources with our mandated responsibilities during the 24-25 fiscal year. Those requests were largely denied. My efforts to align resources with responsibilities extended beyond those budget requests. I identified a significant public safety risk and revenue opportunity in the City’s unaddressed backlog of more than 2,000 expired permits since 2020. As part of the fee study, I developed and proposed new fees specifically to address this backlog, which the Council subsequently adopted. This initiative was not merely punitive; it was a strategic plan to generate an estimated $1.2 million in revenue, designed explicitly to help the department weather the exact kind of economic uncertainty in development that later prompted budget cuts. However, despite Council approval, I was denied the resources and operational discretion to implement this revenue-positive, public-safety initiative. The Operational Consequences As the report correctly notes, the City saw a "decline compared to previous years" in new development, which was "reflected in permitting and inspection volumes." However, this slowdown in revenue-generating activity was met with a historic surge in our non-revenue-generating public-safety duties. The report confirms that "The Code Enforcement team processed a record number of investigation requests." Instead of shifting resources to meet this record-breaking demand for code enforcement, the administration used the decline in permit revenue to justify system-wide austerity measures that crippled our ability to function. At the same time, according to the report, the Planning Division "achieved greater stability through the hiring of three interns and permanent staff," while the Building and Safety division was directed to "complete more work in-house to reduce costs." This directive was coupled with a significant expansion of my own duties. I was tasked with rebuilding another team by assuming the responsibilities of the vacant Supervising Civil Engineer, overseeing the day-to-day operations and recruitment for the Engineering Development Review Team, including the new Supervising Civil Engineer. The strain on the building division was further compounded by the director's determination to divert code enforcement resources away from core public-safety risks, such as dangerous buildings and expired permit enforcement, and towards a new fraternity and sorority party enforcement initiative. I was explicitly excluded from these efforts by the director and never consulted or asked to speak to the grand jury on the matter. I was denied the staff required to address the thousands of pending permit violations affecting the broader community's safety. Public Hazard at 1150 Laurel Lane 1150 Laurel Lane represents a systemic failure by the City's handling of the "dangerous building," a major public safety enforcement case.  My initial attempt at enforcement against the project began in June 2024, but was halted by Director Tway who instructed me to extend the property's Temporary Certificates of Occupancy.  For the next five months, I was consistently pressured to extend occupancy authorizations, and Director Tway prevented me from issuing a Notice of Violation.  It was only when I refused to sign another TCO extension in November 2024 that the administration was forced to confront the issue, and I was again directed not to send the Notice of Violation until I met with the City Manager. 29  City Manager MacDonald met with me on December 18, 2024. The Fire Chief declared the building too hazardous for his crews to enter in the event of an emergency, and I presented detailed inspector reports confirming the building’s rapid decay.  The response from leadership was not immediate action, but an instruction to delay enforcement until after Christmas because issuing a notice before would be “immoral.”  It took an additional three months of internal pressure before I was finally able to issue a formal Notice of Violation in March 2025, condemning parts of the structure.  Just days before the formal appeal hearing, on May 1, 2024, the City itself undermined the condemnation by participating in the "Bike Month" event on the hazardous property. This case presents a serious and unmitigated public safety risk given its proximity to a public elementary school and public parks. The 17 acre property was supposed to provide hundreds of housing units in a core location for the city. However, any future prospect of housing or development at this location will now be impeded by the millions of dollars worth of substandard conditions of the 70-year-old building, and the over $50 million dollars of debt that has been reported on the property. Community-Wide Consequences The culmination of a record-breaking enforcement workload, constrained resources, and active administrative obstacles created an unsustainable work environment, leading to my constructive discharge in June of this year. It is critical for the Council to know that I am the eighth Building Official hired by the City in the last 12 years. This is not a series of isolated departures; it is a clear pattern of institutional instability driven by flawed fiscal policy. For over a decade, the City has collected an estimated $10 million more in fees for review and inspection services than it has spent providing them. This is not a budget surplus, but represents a decade of public funds collected for services that were not fully rendered. The consequences are now etched into our community's landscape in the derelict and uninhabitable properties like "The Sub," in the unresolved safety risks posed by thousands of expired permits, in the dangerous conditions at 1150 Laurel Lane, and in the frequent reports of substandard living conditions from local tena nts. All the while, the City Council continues to adopt new policies for the Building & Safety division to enforce, such as single-use plastics and polystyrene restrictions, shopping cart management, and energy efficiency ordinances. The City collects fees based on a promise of safety and service. It is imperative that the Building & Safety division be fully equipped to deliver on that promise. I urge the Council to interrogate the allocations of resources for the Community Development Department, and to begin providing adequate funding for a public safety program that meets the needs and demands of our community. Sincerely, Michael Loew, MPA, CBO 30 From:Michael Loew < > Sent:Wednesday, November 5, 2025 7:06 AM To:Colunga-Lopez, Andrea Subject:Re: Public Comment on Item 6a Hi Andrea, Thank you for this. Can I please have a copy of the communications sent to the Council leading up to the meeting that were not posted to the archive as agenda correspondences? Best, Mike On Mon, Nov 3, 2025 at 9:24 AM Colunga-Lopez, Andrea <AColunga@slocity.org> wrote: Hi Michael, Thank you for your input, it has been sent to the City Council members. It is now placed in the public archive for the upcoming meeting. Best, Andrea Colunga-Lopez pronouns she/her/hers Deputy City Clerk I City Administration E AColunga@slocity.org T 805.781.7105 slocity.org Stay connected with the City by signing up for e-notifications From: Michael Loew < > Sent: Sunday, November 2, 2025 6:45 PM 31 To: E-mail Council Website <emailcouncil@slocity.org> Subject: Public Comment on Item 6a Dear Mayor Stewart and City Council Members, My name is Michael Loew, I am a resident and homeowner in the city. I served as the City’s Chief Building Official from June 2023 through June 2025. I am writing to provide supplemental context regarding Building & Safety operations during that period and to support the Council’s review of resource allocation, service delivery capacity, and policy impacts on public safety. Policy of Revenue Generation Over Service Delivery The Building and Safety division's core challenge is a structural paradox embedded in the city's fiscal policy. This was brought into sharp focus during the 2024 fee study. The City’s contracted consultant's analysis, based on past years of the city's own spending data, concluded that the division was under- resourced relative to the fees it collected. This resulted in a calculation that proposed to reduce fee rates by 35%. To avert a significant revenue loss, I was directed to develop an entirely new methodology, one based on the time and resources it should take to properly administer and enforce the building code. My analysis successfully justified maintaining the existing revenues, an action that preserved approximately $1 million in annual revenue for the department. The logical and ethical next step was to fund the division to the level its own fee-justification model proved was necessary. I submitted corresponding significant operating budget requests of over $500,000 (half of the calculation) to begin to align our resources with our mandated responsibilities during the 24-25 fiscal year. Those requests were largely denied. My efforts to align resources with responsibilities extended beyond those budget requests. I identified a significant public safety risk and revenue opportunity in the City’s unaddressed backlog of more than 2,000 expired permits since 2020. As part of the fee study, I developed and proposed new fees specifically to address this backlog, which the Council subsequently adopted. This initiative was not merely punitive; it was a strategic plan to generate an estimated $1.2 million in revenue, designed explicitly to help the department weather the exact kind of economic uncertainty in development that later prompted budget cuts. However, despite Council approval, I was denied the resources and operational discretion to implement this revenue-positive, public-safety initiative. The Operational Consequences As the report correctly notes, the City saw a "decline compared to previous years" in new development, which was "reflected in permitting and inspection volumes." However, this slowdown in revenue-generating activity was met with a historic surge in our non-revenue-generating public-safety duties. The report confirms that "The Code Enforcement team processed a record number of investigation requests." Instead of shifting resources to meet this record-breaking demand for code enforcement, the administration used the decline in permit revenue to justify system-wide austerity measures that crippled our ability to function. At the same time, according to the report, the Planning Division "achieved greater stability through the hiring of three interns and permanent staff," while the Building and Safety division was directed to "complete more work in-house to reduce costs." This directive was coupled with a significant expansion of my own duties. I was tasked with rebuilding another team by assuming the responsibilities of the vacant Supervising Civil Engineer, overseeing the day-to-day operations and recruitment for the Engineering Development Review Team, including the new Supervising Civil Engineer. 32 The strain on the building division was further compounded by the director's determination to divert code enforcement resources away from core public-safety risks, such as dangerous buildings and expired permit enforcement, and towards a new fraternity and sorority party enforcement initiative. I was explicitly excluded from these efforts by the director and never consulted or asked to speak to the grand jury on the matter. I was denied the staff required to address the thousands of pending permit violations affecting the broader community's safety. Public Hazard at 1150 Laurel Lane 1150 Laurel Lane represents a systemic failure by the City's handling of the "dangerous building," a major public safety enforcement case.  My initial attempt at enforcement against the project began in June 2024, but was halted by Director Tway who instructed me to extend the property's Temporary Certificates of Occupancy.  For the next five months, I was consistently pressured to extend occupancy authorizations, and Director Tway prevented me from issuing a Notice of Violation.  It was only when I refused to sign another TCO extension in November 2024 that the administration was forced to confront the issue, and I was again directed not to send the Notice of Violation until I met with the City Manager.  City Manager MacDonald met with me on December 18, 2024. The Fire Chief declared the building too hazardous for his crews to enter in the event of an emergency, and I presented detailed inspector reports confirming the building’s rapid decay.  The response from leadership was not immediate action, but an instruction to delay enforcement until after Christmas because issuing a notice before would be “immoral.”  It took an additional three months of internal pressure before I was finally able to issue a formal Notice of Violation in March 2025, condemning parts of the structure.  Just days before the formal appeal hearing, on May 1, 2024, the City itself undermined the condemnation by participating in the "Bike Month" event on the hazardous property. This case presents a serious and unmitigated public safety risk given its proximity to a public elementary school and public parks. The 17 acre property was supposed to provide hundreds of housing units in a core location for the city. However, any future prospect of housing or development at this location will now be impeded by the millions of dollars worth of substandard conditions of the 70-year-old building, and the over $50 million dollars of debt that has been reported on the property. Community-Wide Consequences The culmination of a record-breaking enforcement workload, constrained resources, and active administrative obstacles created an unsustainable work environment, leading to my constructive discharge in June of this year. It is critical for the Council to know that I am the eighth Building Official hired by the City in the last 12 years. This is not a series of isolated departures; it is a clear pattern of institutional instability driven by flawed fiscal policy. 33 For over a decade, the City has collected an estimated $10 million more in fees for review and inspection services than it has spent providing them. This is not a budget surplus, but represents a decade of public funds collected for services that were not fully rendered. The consequences are now etched into our community's landscape in the derelict and uninhabitable properties like "The Sub," in the unresolved safety risks posed by thousands of expired permits, in the dangerous conditions at 1150 Laurel Lane, and in the frequent reports of substandard living conditions from local tena nts. All the while, the City Council continues to adopt new policies for the Building & Safety division to enforce, such as single-use plastics and polystyrene restrictions, shopping cart management, and energy efficiency ordinances. The City collects fees based on a promise of safety and service. It is imperative that the Building & Safety division be fully equipped to deliver on that promise. I urge the Council to interrogate the allocations of resources for the Community Development Department, and to begin providing adequate funding for a public safety program that meets the needs and demands of our community. Sincerely, Michael Loew, MPA, CBO 34 From:Colunga-Lopez, Andrea Sent:Monday, November 3, 2025 10:06 AM To:Michael Loew Cc:CityClerk Subject:RE: City Claim Hi Michael, Your claim has been received and forwarded to the City Attorney’s Office for processing. If you have questions regarding the process, please reach out to their office directly at (805) 781-7140 or city_attorney@slocity.org. Best, Andrea Colunga-Lopez pronouns she/her/hers Deputy City Clerk I City Administration E AColunga@slocity.org T 805.781.7105 slocity.org Stay connected with the City by signing up for e-notifications From: Michael Loew < > Sent: Saturday, November 1, 2025 3:00 PM To: CityClerk <CityClerk@slocity.org> Subject: City Claim Please find my completed claim form attached. Thank you, Michael Loew 35 From:Colunga-Lopez, Andrea Sent:Monday, November 3, 2025 9:25 AM To:Michael Loew Cc:CityClerk Subject:RE: Public Comment on Item 6a Hi Michael, Thank you for your input, it has been sent to the City Council members. It is now placed in the public archive for the upcoming meeting. Best, Andrea Colunga-Lopez pronouns she/her/hers Deputy City Clerk I City Administration E AColunga@slocity.org T 805.781.7105 slocity.org Stay connected with the City by signing up for e-notifications From: Michael Loew < > Sent: Sunday, November 2, 2025 6:45 PM To: E-mail Council Website <emailcouncil@slocity.org> Subject: Public Comment on Item 6a Dear Mayor Stewart and City Council Members, My name is Michael Loew, I am a resident and homeowner in the city. I served as the City’s Chief Building Official from June 2023 through June 2025. I am writing to provide supplemental context regarding Building & Safety operations during that period and to support the Council’s review of resource allocation, service delivery capacity, and policy impacts on public safety. Policy of Revenue Generation Over Service Delivery The Building and Safety division's core challenge is a structural paradox embedded in the city's fiscal policy. This was brought into sharp focus during the 2024 fee study. The City’s contracted consultant's analysis, based on past years of the city's own spending data, concluded that the division was under-resourced relative to the fees it collected. This resulted in a calculation that proposed to reduce fee rates by 35%. To avert a significant revenue loss, I was directed to develop an entirely new methodology, one based on the time and resources it should take to properly administer and enforce the building code. My analysis 36 successfully justified maintaining the existing revenues, an action that preserved approximately $1 million in annual revenue for the department. The logical and ethical next step was to fund the division to the level its own fee-justification model proved was necessary. I submitted corresponding significant operating budget requests of over $500,000 (half of the calculation) to begin to align our resources with our mandated responsibilities during the 24-25 fiscal year. Those requests were largely denied. My efforts to align resources with responsibilities extended beyond those budget requests. I identified a significant public safety risk and revenue opportunity in the City’s unaddressed backlog of more than 2,000 expired permits since 2020. As part of the fee study, I developed and proposed new fees specifically to address this backlog, which the Council subsequently adopted. This initiative was not merely punitive; it was a strategic plan to generate an estimated $1.2 million in revenue, designed explicitly to help the department weather the exact kind of economic uncertainty in development that later prompted budget cuts. However, despite Council approval, I was denied the resources and operational discretion to implement this revenue- positive, public-safety initiative. The Operational Consequences As the report correctly notes, the City saw a "decline compared to previous years" in new development, which was "reflected in permitting and inspection volumes." However, this slowdown in revenue-generating activity was met with a historic surge in our non-revenue-generating public-safety duties. The report confirms that "The Code Enforcement team processed a record number of investigation requests." Instead of shifting resources to meet this record-breaking demand for code enforcement, the administration used the decline in permit revenue to justify system-wide austerity measures that crippled our ability to function. At the same time, according to the report, the Planning Division "achieved greater stability through the hiring of three interns and permanent staff," while the Building and Safety division was directed to "complete more work in-house to reduce costs." This directive was coupled with a significant expansion of my own duties. I was tasked with rebuilding another team by assuming the responsibilities of the vacant Supervising Civil Engineer, overseeing the day-to-day operations and recruitment for the Engineering Development Review Team, including the new Supervising Civil Engineer. The strain on the building division was further compounded by the director's determination to divert code enforcement resources away from core public-safety risks, such as dangerous buildings and expired permit enforcement, and towards a new fraternity and sorority party enforcement initiative. I was explicitly excluded from these efforts by the director and never consulted or asked to speak to the grand jury on the matter. I was denied the staff required to address the thousands of pending permit violations affecting the broader community's safety. Public Hazard at 1150 Laurel Lane 1150 Laurel Lane represents a systemic failure by the City's handling of the "dangerous building," a major public safety enforcement case.  My initial attempt at enforcement against the project began in June 2024, but was halted by Director Tway who instructed me to extend the property's Temporary Certificates of Occupancy.  For the next five months, I was consistently pressured to extend occupancy authorizations, and Director Tway prevented me from issuing a Notice of Violation.  It was only when I refused to sign another TCO extension in November 2024 that the administration was forced to confront the issue, and I was again directed not to send the Notice of Violation until I met with the City Manager. 37  City Manager MacDonald met with me on December 18, 2024. The Fire Chief declared the building too hazardous for his crews to enter in the event of an emergency, and I presented detailed inspector reports confirming the building’s rapid decay.  The response from leadership was not immediate action, but an instruction to delay enforcement until after Christmas because issuing a notice before would be “immoral.”  It took an additional three months of internal pressure before I was finally able to issue a formal Notice of Violation in March 2025, condemning parts of the structure.  Just days before the formal appeal hearing, on May 1, 2024, the City itself undermined the condemnation by participating in the "Bike Month" event on the hazardous property. This case presents a serious and unmitigated public safety risk given its proximity to a public elementary school and public parks. The 17 acre property was supposed to provide hundreds of housing units in a core location for the city. However, any future prospect of housing or development at this location will now be impeded by the millions of dollars worth of substandard conditions of the 70-year-old building, and the over $50 million dollars of debt that has been reported on the property. Community-Wide Consequences The culmination of a record-breaking enforcement workload, constrained resources, and active administrative obstacles created an unsustainable work environment, leading to my constructive discharge in June of this year. It is critical for the Council to know that I am the eighth Building Official hired by the City in the last 12 years. This is not a series of isolated departures; it is a clear pattern of institutional instability driven by flawed fiscal policy. For over a decade, the City has collected an estimated $10 million more in fees for review and inspection services than it has spent providing them. This is not a budget surplus, but represents a decade of public funds collected for services that were not fully rendered. The consequences are now etched into our community's landscape in the derelict and uninhabitable properties like "The Sub," in the unresolved safety risks posed by thousands of expired permits, in the dangerous conditions at 1150 Laurel Lane, and in the frequent reports of substandard living conditions from local tenants. All the while, the City Council continues to adopt new policies for the Building & Safety division to enforce, such as single-use plastics and polystyrene restrictions, shopping cart management, and energy efficiency ordinances. The City collects fees based on a promise of safety and service. It is imperative that the Building & Safety division be fully equipped to deliver on that promise. I urge the Council to interrogate the allocations of resources for the Community Development Department, and to begin providing adequate funding for a public safety program that meets the needs and demands of our community. Sincerely, Michael Loew, MPA, CBO 38 From:Michael Loew < > Sent:Sunday, November 2, 2025 6:45 PM To:E-mail Council Website Subject:Public Comment on Item 6a Dear Mayor Stewart and City Council Members, My name is Michael Loew, I am a resident and homeowner in the city. I served as the City’s Chief Building Official from June 2023 through June 2025. I am writing to provide supplemental context regarding Building & Safety operations during that period and to support the Council’s review of resource allocation, service delivery capacity, and policy impacts on public safety. Policy of Revenue Generation Over Service Delivery The Building and Safety division's core challenge is a structural paradox embedded in the city's fiscal policy. This was brought into sharp focus during the 2024 fee study. The City’s contracted consultant's analysis, based on past years of the city's own spending data, concluded that the division was under-resourced relative to the fees it collected. This resulted in a calculation that proposed to reduce fee rates by 35%. To avert a significant revenue loss, I was directed to develop an entirely new methodology, one based on the time and resources it should take to properly administer and enforce the building code. My analysis successfully justified maintaining the existing revenues, an action that preserved approximately $1 million in annual revenue for the department. The logical and ethical next step was to fund the division to the level its own fee-justification model proved was necessary. I submitted corresponding significant operating budget requests of over $500,000 (half of the calculation) to begin to align our resources with our mandated responsibilities during the 24-25 fiscal year. Those requests were largely denied. My efforts to align resources with responsibilities extended beyond those budget requests. I identified a significant public safety risk and revenue opportunity in the City’s unaddressed backlog of more than 2,000 expired permits since 2020. As part of the fee study, I developed and proposed new fees specifically to address this backlog, which the Council subsequently adopted. This initiative was not merely punitive; it was a strategic plan to generate an estimated $1.2 million in revenue, designed explicitly to help the department weather the exact kind of economic uncertainty in development that later prompted budget cuts. However, despite Council approval, I was denied the resources and operational discretion to implement this revenue- positive, public-safety initiative. The Operational Consequences As the report correctly notes, the City saw a "decline compared to previous years" in new development, which was "reflected in permitting and inspection volumes." However, this slowdown in revenue-generating activity was met with a historic surge in our non-revenue-generating public-safety duties. The report confirms that "The Code Enforcement team processed a record number of investigation requests." Instead of shifting resources to meet this record-breaking demand for code enforcement, the administration used the decline in permit revenue to justify system-wide austerity measures that crippled our ability to function. At the same time, according to the report, the Planning Division "achieved greater stability through the hiring of three interns and permanent staff," while the Building and Safety division was directed to "complete more work in-house to reduce costs." This directive was coupled with a significant expansion of my own duties. I was tasked with rebuilding another team by assuming the responsibilities of the vacant 39 Supervising Civil Engineer, overseeing the day-to-day operations and recruitment for the Engineering Development Review Team, including the new Supervising Civil Engineer. The strain on the building division was further compounded by the director's determination to divert code enforcement resources away from core public-safety risks, such as dangerous buildings and expired permit enforcement, and towards a new fraternity and sorority party enforcement initiative. I was explicitly excluded from these efforts by the director and never consulted or asked to speak to the grand jury on the matter. I was denied the staff required to address the thousands of pending permit violations affecting the broader community's safety. Public Hazard at 1150 Laurel Lane 1150 Laurel Lane represents a systemic failure by the City's handling of the "dangerous building," a major public safety enforcement case.  My initial attempt at enforcement against the project began in June 2024, but was halted by Director Tway who instructed me to extend the property's Temporary Certificates of Occupancy.  For the next five months, I was consistently pressured to extend occupancy authorizations, and Director Tway prevented me from issuing a Notice of Violation.  It was only when I refused to sign another TCO extension in November 2024 that the administration was forced to confront the issue, and I was again directed not to send the Notice of Violation until I met with the City Manager.  City Manager MacDonald met with me on December 18, 2024. The Fire Chief declared the building too hazardous for his crews to enter in the event of an emergency, and I presented detailed inspector reports confirming the building’s rapid decay.  The response from leadership was not immediate action, but an instruction to delay enforcement until after Christmas because issuing a notice before would be “immoral.”  It took an additional three months of internal pressure before I was finally able to issue a formal Notice of Violation in March 2025, condemning parts of the structure.  Just days before the formal appeal hearing, on May 1, 2024, the City itself undermined the condemnation by participating in the "Bike Month" event on the hazardous property. This case presents a serious and unmitigated public safety risk given its proximity to a public elementary school and public parks. The 17 acre property was supposed to provide hundreds of housing units in a core location for the city. However, any future prospect of housing or development at this location will now be impeded by the millions of dollars worth of substandard conditions of the 70-year-old building, and the over $50 million dollars of debt that has been reported on the property. Community-Wide Consequences The culmination of a record-breaking enforcement workload, constrained resources, and active administrative obstacles created an unsustainable work environment, leading to my constructive discharge in June of this year. It is critical for the Council to know that I am the eighth Building Official hired by the City in the last 12 years. This is not a series of isolated departures; it is a clear pattern of institutional instability driven by flawed fiscal policy. For over a decade, the City has collected an estimated $10 million more in fees for review and inspection services than it has spent providing them. This is not a budget surplus, but represents a decade of public funds collected for services that were not fully rendered. The consequences are now etched into our 40 community's landscape in the derelict and uninhabitable properties like "The Sub," in the unresolved safety risks posed by thousands of expired permits, in the dangerous conditions at 1150 Laurel Lane, and in the frequent reports of substandard living conditions from local tenants. All the while, the City Council continues to adopt new policies for the Building & Safety division to enforce, such as single-use plastics and polystyrene restrictions, shopping cart management, and energy efficiency ordinances. The City collects fees based on a promise of safety and service. It is imperative that the Building & Safety division be fully equipped to deliver on that promise. I urge the Council to interrogate the allocations of resources for the Community Development Department, and to begin providing adequate funding for a public safety program that meets the needs and demands of our community. Sincerely, Michael Loew, MPA, CBO 41 From:Michael Loew < > Sent:Saturday, November 1, 2025 3:00 PM To:CityClerk Subject:City Claim Attachments:Nov 1 2025.pdf Please find my completed claim form attached. Thank you, Michael Loew 42 From:Michael Loew <michael@ichiplan.com> Sent:Thursday, October 2, 2025 2:11 PM To:Lehman, Chris Subject:Re: Lunch A legitimate Taco Tuesday, nice. On Thu, Oct 2, 2025 at 2:09 PM Lehman, Chris <clehman@slocity.org> wrote: Thanks, Mike! Just sent an update to meet 10/14. Safe travels, -Chris From: Michael Loew <michael@ichiplan.com> Sent: Thursday, October 2, 2025 2:01 PM To: Lehman, Chris <clehman@slocity.org> Subject: Re: Lunch Hi Chirs, I am actually going out of town Thursday afternoon. I'm free M-W next week, or M, T, Th the following. Hope you get better! -Mike On Thu, Oct 2, 2025 at 1:55 PM Lehman, Chris <clehman@slocity.org> wrote: Hi Mike, Hate to punt our meeting again, but I’ve been struggling this week with a cold. Are you available for lunch on 10/9? Chris Lehman Deputy Director - Wastewater 43 Public Utilities 879 Morro st., San Luis Obispo, CA 93401-7314 E clehman@slocity.org T 805.781.7039 C 805.431.4372 slocity.org Stay connected with the City by signing up for e-notifications -----Original Appointment----- From: Lehman, Chris Sent: Tuesday, September 23, 2025 2:05 PM To: Lehman, Chris; michael@ichiplan.com Subject: Lunch When: Friday, October 3, 2025 12:00 PM-1:00 PM (UTC-08:00) Pacific Time (US & Canada). Where: Taqueria El Guero -1122 Chorro Street Sensitivity: Private 44 From:Lehman, Chris Sent:Thursday, October 2, 2025 2:09 PM To:Michael Loew Subject:RE: Lunch Thanks, Mike! Just sent an update to meet 10/14. Safe travels, -Chris From: Michael Loew <michael@ichiplan.com> Sent: Thursday, October 2, 2025 2:01 PM To: Lehman, Chris <clehman@slocity.org> Subject: Re: Lunch Hi Chirs, I am actually going out of town Thursday afternoon. I'm free M-W next week, or M, T, Th the following. Hope you get better! -Mike On Thu, Oct 2, 2025 at 1:55 PM Lehman, Chris <clehman@slocity.org> wrote: Hi Mike, Hate to punt our meeting again, but I’ve been struggling this week with a cold. Are you available for lunch on 10/9? Chris Lehman Deputy Director - Wastewater Public Utilities 879 Morro st., San Luis Obispo, CA 93401-7314 E clehman@slocity.org T 805.781.7039 C 805.431.4372 slocity.org Stay connected with the City by signing up for e-notifications 45 -----Original Appointment----- From: Lehman, Chris Sent: Tuesday, September 23, 2025 2:05 PM To: Lehman, Chris; michael@ichiplan.com Subject: Lunch When: Friday, October 3, 2025 12:00 PM-1:00 PM (UTC-08:00) Pacific Time (US & Canada). Where: Taqueria El Guero -1122 Chorro Street Sensitivity: Private 46 From:Michael Loew <michael@ichiplan.com> Sent:Thursday, October 2, 2025 2:01 PM To:Lehman, Chris Subject:Re: Lunch Hi Chirs, I am actually going out of town Thursday afternoon. I'm free M-W next week, or M, T, Th the following. Hope you get better! -Mike On Thu, Oct 2, 2025 at 1:55 PM Lehman, Chris <clehman@slocity.org> wrote: Hi Mike, Hate to punt our meeting again, but I’ve been struggling this week with a cold. Are you available for lunch on 10/9? Chris Lehman Deputy Director - Wastewater Public Utilities 879 Morro st., San Luis Obispo, CA 93401-7314 E clehman@slocity.org T 805.781.7039 C 805.431.4372 slocity.org Stay connected with the City by signing up for e-notifications -----Original Appointment----- From: Lehman, Chris Sent: Tuesday, September 23, 2025 2:05 PM To: Lehman, Chris; michael@ichiplan.com Subject: Lunch When: Friday, October 3, 2025 12:00 PM-1:00 PM (UTC-08:00) Pacific Time (US & Canada). Where: Taqueria El Guero -1122 Chorro Street Sensitivity: Private 47 48 From:Lehman, Chris Sent:Thursday, October 2, 2025 1:55 PM To:michael@ichiplan.com Subject:RE: Lunch Sensitivity:Private Hi Mike, Hate to punt our meeting again, but I’ve been struggling this week with a cold. Are you available for lunch on 10/9? Chris Lehman Deputy Director - Wastewater Public Utilities 879 Morro st., San Luis Obispo, CA 93401-7314 E clehman@slocity.org T 805.781.7039 C 805.431.4372 slocity.org Stay connected with the City by signing up for e-notifications -----Original Appointment----- From: Lehman, Chris Sent: Tuesday, September 23, 2025 2:05 PM To: Lehman, Chris; michael@ichiplan.com Subject: Lunch When: Friday, October 3, 2025 12:00 PM-1:00 PM (UTC-08:00) Pacific Time (US & Canada). Where: Taqueria El Guero -1122 Chorro Street Sensitivity: Private