The Method Fest Independent Film Festival celebrates its 10th year this month, a length of time that is surprising even to its executive director, Don Franken. Funding a not-for-profit arts event is never easy, said Franken, and staffing often comes from volunteers. But a core group has come together over the past decade to put on a discovery festival celebrating acting skills and creating relationship building between filmmakers, performers, agents, managers and distributors. “That is something that we are proud of,” Franken said. In that 10-year period, about 100 films screened at the festival have gone on to theatrical or home entertainment release. Some performers saw their careers helped when their work was screened there. Actress Ali Larter (“Heroes”) appeared in a film shown at Method Fest in 2005 and this year returns as a lead in “Crazy.” Actor Henry Barrial won an award in the festival’s first year and this month premieres his feature film “True Love.” “We see careers rising fast and it’s very exciting,” Franken said. The festival runs from March 27 through April 3 with screenings and other events taking place at two locations in Calabasas: the Louis B. Mayer Theatre at the Motion Picture & Television Fund’s Wasserman Campus, and the Carlson Family Theatre at Viewpoint School. Multiple world premieres, screenings of films previously shown at festivals in Sundance and Toronto, special events honoring the top 10 films and performances, and a montage of top moments from previous Method Fests are on the schedule. Previous festivals took place in Pasadena and Burbank before moving to Calabasas in 2005. While films are the core, socializing among the filmmakers is never far behind, with events taking place following most screenings. While Calabasas restaurants and businesses welcome a majority of these events, others will be taking place outside the city, at venues such as Chapter 8 in Agoura Hills and The Rack in Woodland Hills, giving the festival a regional flare. “Creating a sense of community is essential because by doing that relationships are developed and business happens,” Franken said. For more information on the festival go to www.methodfest.com SAN FERNANDO VALLEY Calabasas Hills Anniversary: To commemorate its 30th anniversary, the Cheesecake Factory Inc. rang the NASDAQ Stock Market opening bell on March 5. The first Cheesecake Factory restaurant began serving on Feb. 25, 1978, in Beverly Hills. The company also made a presentation at the Bear Stearns 14th annual Retail, Restaurants & Consumer Conference March 6 in New York City. Chatsworth Bank: First Federal Bank of California announced the opening of its newest banking office in Chatsworth. Located at 20505 Devonshire Blvd., the branch is full-service, providing a full range of both consumer and commercial banking products and services. With over 25 years of banking experience, Phyllis M. Barber, branch manager and Chatsworth resident, head the office team. Encino Mammoth: AvatarLabs created an online game using scenes from “10,000 B.C.” as part of a marketing campaign for the new Warner Bros. film. “Master Hunter” immerses the player in the mammoth hunt from the film, with video content from the effects-heavy hunt sequence. An embeddable widget allows players to keep track of their score and those of their friends. The widget can be placed on individual social networking pages and allows a network of players to compete. San Fernando Safety: Precision Dynamics Corp. has offered $13,000 in free wristband products in a program promoting innovating hospital patient safety. The “Partner in Patient Safety Campaign” will accept submissions on safety success stories through Aug. 4. Winners will be announced in November with their stories posted at the Precision Dynamics website and in Patient Safety & Quality Healthcare magazine. The top winner receives $10,000 in Precision Dynamics wristband products, with three additional honorees receive $1,000 each in products. Precision is focused on systematic changes and using automated technologies to prevent medical errors, said its President and CEO Gary Hutchinson. “Our campaign is geared toward recognizing these hospitals, and helping other facilities learn from them to better maximize safety and improve patient outcomes,” Hutchinson said. Studio City Music: The Alan Ett Creative Group entered into a deal to become the virtual music department for 44 Blue Productions Inc. The two companies will co-publish commissioned works from the AECG and these tracks become the property of music data base owned by 44 Blue. The relationship gives 44 Blue access to high quality music from professionals and the opportunity to create multiple revenue streams from a production segment that had been only an expense item previously. “Music is a critical component of all our shows and I’m thrilled to work with one of the most respected composers in the business,” said Rasha Drachkovitch, co-owner of 44 Blue. “Alan’s experience in this area puts 44 Blue Productions on the forefront of the music publishing industry.” Universal City Health: The County of Los Angeles Department of Mental Health in collaboration with the Charles R. Drew Physician Assistant Alumni Association hosted the sixth annual African American Mental Health Conference Feb. 28 at the Universal City Hilton. The conference featured famed academic Cornel West and Fuller Seminary Dean and Associate Professor of Psychology Winston E. Gooden. Presentations were made on homelessness, youth and the elderly. Valley Glen Honor: The Los Angeles Unified School District announced that Grant High School in Valley Glen is the California winner of a $10,000 legacy award from the Association from the Advancement of Retired Persons (AARP) for its outstanding educational achievements. Grant High School was recognized with an Ethel Percy Andrus Legacy Award for its Serenity Garden created by the Wildlife Conservation Program, which provides leadership opportunities for all students by encouraging a solid teamwork ethic focused on a shared goal. The program provides gardening opportunities for elderly neighborhood residents and fosters positive development in relationships among students, parents, teachers and community members. Woodland Hills Sports: Time Warner Cable has made available Spanish-language network ESPN Deportes in its digital cable service for Los Angeles. The 24-hour channel is expected to reach 1 million digital customers through Time Warner Cable’s Variety Tier. The inclusion of the channel coincides with the network’s exclusive telecast of the 2008 CONCACAF Men’s Olympic Qualifying tournament. “With this launch, more Hispanic sports fans throughout the region can enjoy quality, exclusive games and sports coverage for the first time,” said TWC region President Stephen Pagano. ANTELOPE VALLEY Lancaster Flyer: To help provide travelers with a convenient, reliable and inexpensive alternative to commuting to LAX, Los Angeles County Supervisor Michael D. Antonovich unveiled the Palmdale Flyer, a new express bus service, at the Antelope Valley Board of Trade Outlook Conference Feb. 29 at the Antelope Valley Fairgrounds. Fashioned after the successful LAX FlyAway service administered by Los Angeles World Airports, the Palmdale Flyer will connect Palmdale Airport with the Via Princessa Metrolink Station at 19201 Via Princessa in Santa Clarita, and the Van Nuys FlyAway Bus Terminal at 7610 Woodley Ave. United Airlines currently connects PMD to San Francisco International Airport, an international hub, on twice daily flights. SIMI VALLEY Simi Valley Recognition: Simi Valley Ford recently recognized receptionist Norma Smith for her 20 years of work at the dealership. “Norma is one of our most dedicated employees. She gives 100 percent to the company and never says no when asked to help out wherever needed,” said Larry Hibbler, president of Simi Valley. “Our customers love Norma.” In turn, Smith said that she loves the dealership’s customers. “I have made many friends here and when people see me around town they recognize me from Simi Valley Ford. That makes me feel good.” CONEJO VALLEY Thousand Oaks CrossTalk: Public affairs program “CrossTalk,” an interview-based show addressing issues, from health to literature to politics, has returned to the airwaves. It has won several awards from the Radio Television News Association of Southern California, the Los Angeles Press Club and other organizations for shows on topics ranging from the execution of Crips gang co-founder Stanley “Tookie” Williams to the future of Social Security. “With the state budget shortfall, a contentious presidential election and pressing local issues like transportation and educational achievement, it’s an important time for the local community to have a voice,” host Jim Rondeau said. A community service of California Lutheran University in Thousand Oaks, KCLU broadcasts to 70,000 listeners on 88.3 FM in Ventura County, 102.3 FM in Santa Barbara County and online at http://www.kclu.org.
VALLEY BIZ SEEN
Welcome to Valley Biz Seen, a new reader-driven feature. Send us your photographs of Valley business people being feted, awarded, commended or just taking part in interesting regional events. Don’t forget to include the names of the people in the pictures, a brief highlight of the event including when and where the picture was taken and contact information in case we have any questions. Photos should be a minimum resolution of 200 dpi and at least 4″ x 4″ in size. San Fernando Valley Business Journal Publisher Pegi Matsuda received the Woman of the Year in the 42nd Assembly District award from Assemblyman Mike Feuer at a March 10 ceremony in Sacramento. The Engineers’ Council Board of Directors at the 2008 Honors & Awards Banquet. 2008 Sherman Oaks Board of Directors were sworn in at the 60th Annual Gala by Master of Ceremonies Nancy Schmidt, president of the Rotary Club of Sherman Oaks Sunset, and Joan Pelico, field deputy for L.A. City Councilman Jack Weiss. Congressman Brad Sherman was on hand to present outgoing 2007 President, Zarek Dietz with an American flag. Assemblyman Kevin de Le & #243;n, VICA Board Chair Greg Lippe and Assemblyman Cameron Smyth at VICA’s annual State Officeholders Dinner on Feb. 29. (below) .
Biotech Boosters are Seizing the Moment
Something good is coming out of the problems at Amgen. As the Thousand Oaks company has struggled in the past year laying off 700 people since last summer renewed attention is being placed on the biotech firms along the so-called 101 Corridor from the West San Fernando Valley into Ventura County and beyond. Many of these laid-off employees are scientists and budding entrepreneurs who love our area and don’t want to move to biotech businesses in San Diego, Northern California, Boston and other parts of the country. They’ve got great knowledge of the biotech business and are incredible resources for our area and what has been always not much more than a nascent biotech 101 cluster. There are several dozen biotech firms here but throughout the years they have been overshadowed by Amgen the world’s largest. Any major growth was with Amgen itself. The emergence of a large cluster of biotech businesses has lacked momentum. Enter the Biotech Forum, a local organization that is promoting the expansion of biotech in our region. It is seizing the moment and trying to get all the different partners together to foster growth in the overall 101 Corridor biotech industry in light of the changes at Amgen. As part of its efforts, the Forum is sponsoring what is probably the biggest biotech gathering ever in our area. It’s called “The Perfect Storm: Forecasting an Emerging Regional Biotech Industry.” This half-day event, which takes place in the Grand Ballroom of Westlake Hyatt Plaza in Westlake Village on March 27, is more than just a networking event. There are plenty of those at anytime throughout the area. This will deal with more substantive issues of how to grow our biotech industry here by combining the talent of the people in our area (whom we want to keep here) and the infrastructure of academic institutions, capital and public-private participation that is needed to support them. Panel topics include: “The VC Perspective Creating the Local Biotech Cluster,” “University Tech Transfer Programs Turning Research Into Revenue,” “Been There, Done That Four Amgen Entrepreneurs Share Lessons Learned,” and “Supporting the Cause Public and Private Sector Resources for Start-Ups.” Keynote speaker is Beth Seidenberg of Silicon Valley venture capital firm Kleiner Perkins Caufield & Byers and a former Amgen executive. The panel of former Amgen employees turned entrepreneurs seems especially interesting because their experiences will undoubtedly mirror others as the corridor hopefully grows. The event is by invitation only and is geared toward executives, scientists, entrepreneurs and investors in the life sciences/biotech industry but what is learned there will, I’m sure, grow into something more for the entire regional business community. John Dilts, co-founder of The Biotech Forum and founder and CEO of Maverick Angels and his own Dilts Ventures Firm, said he grew up in the Silicon Valley and “watched that ecosystem form” as industries grew there when the investment, academic communities and others came together. He believes the same thing can happen here. “This is the first event of its kind,” said Brent Reinke, Forum co-founder and corporate partner at the Westlake Village office of Musick, Peeler & Garrett. He and others in the biotech-related community are hoping that the event and the contacts people make there will be a springboard to major economic growth along the corridor. Michael Reilly, senior director-strategy at Baxter and formerly of Amgen, will be at the event. Baxter, which has a major biotech unit, is a major player along the 101 Corridor. He sees opportunities here and believes the event will be fruitful. Reilly cites the need for a biotech incubator to help small startups and the current lack of enough local venture capital money to help local growth. Hopefully the event will address these and many other issues critical to growth of biotech in our area. The timing is right. Business Journal Editor Jason Schaff can be reached at (818) 316-3125 or at [email protected] .
Shoring Up Economic Development
In coming over the hill to the San Fernando Valley to promote economic vitality, Elan Shore has found a much different business world than exists on the Westside. In the Valley, owner-operated companies managed from within are the norm, Shore has learned, as compared to the multi-national corporations found in Westwood or Santa Monica. The heavily-industrial northeast Valley especially is in need of more investment and companies there are not shy about reaching out for Shore’s assistance as the regional manager at the Economic Alliance of the San Fernando Valley. “You don’t see much of that on the Westside,” Shore said. Shore, a resident of Sherman Oaks, took over the position in December after previous regional manger Ken Hitts left to take a job with the City of Glendale. While he is paid by the Los Angeles County Economic Development Corp., Shore works out of the Alliance’s Sherman Oaks office. He started with the LAEDC in July and prior to that worked as a senior business consultant for the Ministry of Economic Development and Trade of the Province of Ontario, Canada. Shore’s background is a welcome balance of experience in working in a government bureaucracy and knowing what the private sectors needs, said Alliance President and CEO Bruce Ackerman. “I have been out on several calls with him and he has the ability to see a situation and surmise what needs to be done and come up with recommendations that help the business or solve the problem,” Ackerman said. Shore is still getting up to speed on the Valley business environment meeting with different city departments; responding to companies with urgent needs; re-establishing networks started by Hitts; and learning about the Pacoima-area enterprise zone that provides tax breaks and financial incentives for business located within its boundaries. In his few months in the Valley, Shore has already worked with two companies moving into the enterprise zone and a third that is in the process of expanding. In coming weeks, meetings with city agencies and not-for-profit organizations will set priorities, identify how to maximize resources and develop protocols for outreach to businesses, Shore said. Despite a complicated history in the Los Angeles region, manufacturing remains a strong provider of good, stable jobs, Shore said. Rather than compete with low-cost basic assembly tasks done primarily overseas, the focus needs to shift to manufacturing using advanced technology and using an existing talent base and infrastructure. “When you talk about the new wave in manufacturing there is a good opportunity to take advantage of that,” Shore said.
State Budget Crisis: Education Braces for Worst
In a landmark move, Gov. Arnold Schwarzenegger recently proposed slashing education funding in the state by $5.6 billion in the 2008-2009 fiscal year. If enacted, the budget cuts would result in K-12 school districts losing $460 million this year and $4.4 billion next year according to the LAUSD. Community colleges would lose $40 million this year and $484 million next year. The California State University system would lose about $313 million next fiscal year, while the University of California system would lose $332 million. The cuts, said to be the largest proposed for education in the state, are intended to compensate for a $14.5 billion budget shortfall. The responses to the cuts in the San Fernando Valley have been varied. While there is concern about how they might affect education programs and services offered locally, many education officials say it’s too early to go into panic mode and that they are now strategizing as how to best absorb the impact of the cuts. California State University, Northridge, has already ended some programs in light of the budget restrictions. The college recently announced that its Family Business Center was going on hiatus. Also, CSUN’s graduate program in genetic counseling is not accepting students for next year. The cuts “really might kill it. It’s really too bad,” said Aida Metzenberg, program director and biology professor. There are 14 students enrolled in the program this year. Next year, there will be nine. Then all of the students will have graduated. If the program, which was established in fall 1994, closes, the effects will ripple beyond the CSUN campus. “The program not only involves CSUN faculty but medical genetic counselors from around L.A.,” Metzenberg said. She added that no similar program exists in the immediate area. “There isn’t a program at UCLA or anywhere near here,” Metzenberg said. “The nearest is UC Irvine.” Paul Browning, a CSU Chancellor’s Office spokesman, discussed what else CSUN might have to sacrifice in light of the budget cuts. “Basically, things like services can be cut. Class sections could be cut, curriculums could be cut, part-time faculty could be,” he said. Moreover, students involved in work-study programs, could be laid off. Browning said that it’s at the discretion of each university to decide how they want to implement the cuts. If a school ruled out layoffs, it might decide to cut back on office products, computers and other items typically purchased each school year. To prepare for the cuts CSU schools moved up the deadlines for which prospective students can apply for admission. CSUN, for instance, moved its deadline up to Feb. 1. “We expect approximately 10,000 students to come in the 08-09 year,” Browning explained of the earlier deadline. “We couldn’t accept that many students.” To boot, students will likely have to pay 10 percent more in fees because of the cuts. Robert Garber and Tyree Wieder, the presidents of Pierce College and Los Angeles Valley College, respectively, discussed how they are grappling with the proposed budget cuts. “We’re kind of in a wait-and-see mode,” Wieder said. “In 07-08, we’ve been able to cover the reductions request to send dollars back to the state level, and we’ve been able to cover those in several different ways, by just not funding things or expenses that we had not used up to this date.” Garber said that he does not want the cuts to affect the quality of the programs and services offered by Pierce College. “I don’t want to see any reduction in our course offerings, limitations in the services we provide to students,” he said. “The strength of the college continues on our ability to continue to offer classes and provide the educational opportunities that they want and need.” Garber said that, even in light of severe budget reductions, Pierce is in a fortunate situation. “We’ve been able to expand our curriculum and increase our enrollment,” he said. “Because we’ve been growing, we’ve been able to have a healthy budget, and I hope there’s room in the budget to absorb some of the cuts and minimize the impacts on our students and our programs.” Garber called the possibility of layoffs of part-time faculty, the most vulnerable group in such a situation, unlikely. “That’s really not going to happen unless things get significantly more depleted than what we’ve got,” he said. Garber also speculated as to how budget cuts at Pierce could affect the surrounding community. “It’s really hard to read the relationship between the economy around us and the college per se,” he said. “Although, if we end up in a position where we’re not offering as many classes, it could potentially lead to the college not purchasing equipment, supplies or services that we would ordinarily purchase.” Los Angeles Unified School District institutions might be the most adversely affected by the budget cuts. If enacted, LAUSD foresees having to close schools or make massive layoffs. Action groups composed of district officials and community stakeholders have already formed to counteract the cuts. “The specific decision about what’s to be cut are still ahead of us,” LAUSD Deputy Chief Financial Officer Roger Rasmussen stressed. “It’s impossible to make reductions of this magnitude without having an impact on a whole lot of program areas. I don’t think we’re going to close 22 schools. We’re not going to close any high schools, and I hope we’re not going to lay off 5,000 employees.” Rasmussen did say that it does seem likely that some staff positions will be cut. There’s also the potential for pay reductions. “We hope we’re not forced into pay reductions, but that’s certainly one of the possible ways to balance the budget,” Rasmussen said. In the early 1990s, the last time the district faced budget cuts of this magnitude, staff pay was reduced. “I’m not saying that it’s going to happen this time,” Rasmussen said. “When we look at the universe of options that are available, there aren’t many things you can do to reduce employee pay, employee benefits. Those are all subject to negotiation with our unions, so it’s a long way from being initialized.” To prevent such a drastic measure, Rasmussen said that LAUSD is exploring to increase revenues via billboard placement and property leasing, among other ideas. As for the action groups that have been formed, “We’re reaching out to different constituencies and people with similar issues, so we can speak with a unified voice,” Rasmussen said. “When we approach people about this we want to approach them as a unified community of interests, which would include other districts, working with our parents because their children are going to be most affected by this, and working with our employee union because they also have a lot at stake.” The Budget Cuts: Effects on LAUSD The Governor’s proposed budget cuts will likely result in LAUSD increasing class sizes and reducing per-student spending. California has ranked below the U.S. average in K-12 per-student spending for the last decade. A $460 million budget cut is equivalent to closing 22 LAUSD high schools, closing all LAUSD schools and offices for 12 days, reducing 5,750 employees from a workforce of 82,000, enacting an 8 percent pay cut for all employees or cutting the cost of employee health benefits by more than half. A $231 million cut to unrestricted LAUSD revenues would mean 1,630 fewer teachers, 248 fewer office and clerical workers, 177 fewer custodians and gardeners, 113 fewer nurses, counselors, etc., 82 fewer principals or assistant principals and 42 fewer school safety workers. Source: LAUSD
LAUSD Hotel Resolution Angers Business Leaders
The Los Angeles Unified School District Board of Education recently approved a resolution that calls for district staff to refrain from holding conferences, professional development seminars and related events at hotels involved in labor disputes with unions. “Many of the parents and guardians of our students work in the hotel industry and rely on fair working conditions and adequate healthcare for themselves and their families,” stated Board of Education President Monica Garc & #237;a at the time. “We want to give these hard-working families our full support and stand in solidarity with them as they work to negotiate a fair contract.” But those in the business community say that the board likely has ulterior motives for passing the resolution and has no place involving itself in such issues. By doing so, board members risk alienating the business community, area business leaders said. “I think it’s interesting that the school district is so willing to go to the business community when they need resources, funding and support and are very happy to be a partner at that point, but any time the board’s union allies ask them to do anything they’re happy to weigh in against business,” said Ruben Gonzalez, partner with public affairs firm Englander & Associates, which counts the Los Angeles Hotel Association among its clients. Valley Industry and Commerce Association board Chair Greg Lippe did not hide his disappointment with the school board’s decision. “LAUSD has no business mixing in non-school politics. They have enough troubles of their own to deal with that they should be focusing their attention on,” he said. “They’ve got terrible dropout rates. They’ve got their percentage of people passing the English language arts portion of the standards test very low. They’ve got the fiasco of the computerized pay system and the Belmont Learning Center issues and so on. And, frankly, they shouldn’t be meeting in hotels, anyway, at a cost of $400,000 a year.” This year alone the district has spent $185,123 on hotels, according to the Daily Breeze. In light of the concerns raised by business leaders, Garc & #237;a issued a statement specifically to the Business Journal. “We greatly value our partnerships with the business community because they share the same goal to make our public schools the best they can be, and we look forward to continuing to build more partnerships together,” she stated. Garc & #237;a also stressed, once again, that in passing the resolution, the board is attempting to support economic fairness for parents and guardians. Board members believe that economic equity for parents directly correlates with a student’s classroom performance. Gonzalez believes the resolution will ultimately harm students’ families, however. “The only people boycotts of this kind really hurt are the employees that the district and the union claim to want to help,” he said. That’s because, if meeting rooms are booked less often, staff works fewer hours, he continued. Overall, Gonzales said that he believes the board’s resolution amounts to a move to give Unite Here Local 11 a tool to publicly pressure hotels to do its bidding. Bob Scott, past VICA board chair, past Planning Commission president and current director of the Mulholland Institute, said that the board’s resolution may have a negative affect on the local economy. “I think it’s a bad standard when public agencies stake out these positions in the economic marketplace,” he said. “It certainly makes the region less competitive” He continued, “We really don’t need LAUSD tampering with our economic marketplace here in Southern California. This drives jobs out of the area, drives up the cost of everything and hurts the economy.” He believes the board is essentially attempting to damage private business interests for not being union. They’re “defaming a company by implying they’re doing something wrong for not being unionized or not paying what they view as a living wage,” he said. Gonzalez also questioned the language the board used in the resolution. “How do you define ‘labor dispute,’ for example?” he asked. “Usually, when you have a labor dispute at a hotel it’s because the workers are unionized and they’re having a contract dispute with the management. That’s what can lead to a picket line or strike.” However, because the board is targeting non-union hotels, it’s important for it to spell out whether it considers demonstrations by groups unrecognized by a hotel to be labor disputes, Gonzalez said. No one who spoke to the Business Journal said that the business community planned to retaliate against the board for passing the resolution. But it was suggested that the business community might not be so friendly the next time the board makes an overture to it. “I think the business community in general will have to seriously consider what kind of partner the school district is,” Gonzalez said.
Lockheed Pays Largest Race Discrimination Settlement
In yet another bitter reminder of how vulnerable employers are to the misbehavior of their supervisors, the U.S. Equal Employment Opportunity Commission recently announced a $2.5 million settlement of a race discrimination lawsuit against the world’s largest military contractor, Lockheed Martin. The claimant was an African American electrician who was purportedly subjected to a racially hostile work environment at several job sites nationwide including threats of lynching and being called the “N-word.” Notably, the monetary relief for the former employee is the largest amount ever obtained by the EEOC for a single person in a race discrimination case, and one of the largest amounts recovered for an individual in any litigation settlement by the agency. Additionally, the Company agreed to terminate the harassers and make significant policy changes to address any future discrimination. The EEOC’s suit, filed in August 2005, alleged that the employee was subjected to severe racial harassment while working on military aircraft as part of a field service team that operated in several states. The EEOC charged that the employee was the target of persistent verbal abuse by co-workers and a supervisor whose racial slurs and offensive language included calling him the “N-word” and saying “we should do to blacks what Hitler did to the Jews” and “if the South had won, then this would be a better country.” The employee also claims that he was subjected to multiple physical threats, such as lynching and other death threats after he reported the harassment. According to the complaint, not only did the employer fail to discipline the alleged harassers, it allowed the offensive behavior to continue unabated even though the company was aware of the unlawful conduct. In announcing the settlement, EEOC officials took the opportunity to remind employers that it is imperative they take “proactive measures to ensure discrimination complaints are taken seriously and that all employees work in an environment free of harassment.” Race remains the most frequently alleged basis of discrimination in charges brought to the EEOC, accounting for about 36% of the agency’s private sector caseload. According to EEOC statistics, racial harassment charge filings with EEOC offices nationwide have more than doubled since the early 1990s. On Feb. 28, 2007, EEOC Chair Naomi C. Earp launched the Commission’s E-RACE Initiative (Eradicating Racism And Colorism from Employment), a national outreach, education, and enforcement campaign focusing on new and emerging race and color issues in the 21st century workplace. Further information about the E-RACE Initiative is available on the EEOC’s website at http://www.eeoc.gov/ initiatives/e-race/index.html This case is a stark reminder that the behavior of the supervisory team carries significant legal consequences and that they must be trained to refrain from actions that create or condone an offensive work environment for others. Further, employers in California have an added legal duty under the California Fair Employment and Housing Act to insure that race and other forms of prohibited discrimination do not occur in the first place and to promptly investigate and remedy such claims as soon as management is made aware of them. California state law also mandates preventive training on workplace harassment of all kinds, including sexual harassment. During a lawsuit or government investigation, evidence that an employer failed to conduct such training can be used to demonstrate that the company culture does not take such matters seriously. That kind of evidence can bolster an award of punitive damages. Richard S. Rosenberg is a founding partner of Ballard Rosenberg Golper & Savitt, LLP, a management side labor law firm in Universal City. Mr. Rosenberg was recently selected as one of the 25 best lawyers in the San Fernando Valley. He may be reached at (818) 508-3700 or [email protected].
Santa Clarita Watchdog Accuses Mayor of Financial Impropriety
A Santa Clarita Valley watchdog organization is seeking an independent investigation into alleged financial improprieties of Santa Clarita Mayor Robert C. Kellar. At a City Council meeting on Feb. 26, Bruce McFarland of the Santa Clarita Valley Ethics Alliance presented public documents produced between the years of 2002 and 2005 that he believes suggest Kellar broke financial disclosure laws by violating the California Fair Political Practices Commission’s Statement of Economic Interests, also known as Form 700. Specifically, McFarland has said that Kellar did not disclose income from the 2005 sale of property along Sierra Highway that was purchased by College of the Canyons. Kellar told the Business Journal that he was waiting for research to be presented before he would comment publicly about the matter. City Attorney Carl K. Newton has investigated the matter but did not make his findings public at the subsequent City Council meeting on March 11, to McFarland’s chagrin. The activist said that he feels as if he is being stonewalled. But he was pleased that the City Council did decide to vote on whether or not to make Newton’s findings public at the next City Council meeting on March 25. Thus far, no action has been taken against Kellar in light of McFarland’s allegations.
Telemundo, Televisa seen in programming deal
NBC Universal’s Spanish-language Telemundo television network and Mexican broadcasting powerhouse Grupo Televisa are expected to announce a programming sharing agreement today that could lead to a closer alliance between the two. Televisa would be allowed to run Telemundo programs on one of its broadcast networks in Mexico as well as a separate cable channel, according to people familiar with the deal. That would give NBC Universal an important distribution outlet for its programs and a potentially lucrative source of new revenue. It also would help expose Telemundo’s shows to Mexican viewers, some of whom might eventually migrate to the U.S. and become a part of Telemundo’s audience here. For the full story visit http://www.latimes.com/business/la-fi-nbc17mar17,1,2855891.story
Technology, Customization are Keys to Firms’ Longevity
As a salesman for his family’s business Industrial Metal Supply peddling steel and brass and copper, Neil Sherman got to know the men operating the machine shops scattered about the San Fernando Valley. That was more than 20 years ago, when the Valley was flush with aviation and aerospace work for the small, one- or two-man shops. But with the Cold War won and cutbacks made in defense spending, melting away into history were the skills of these operators, many of whom came to the U.S. from Europe after World War II. “A lot of that is being lost and I don’t know if many people are picking it up,” Sherman said. The eroding away of the small job shop is among the changes the manufacturing industry faces. It has been witnessed by people like Sherman who measure their professional careers in decades. Industrial Metal started 60 years ago in Burbank and is now located in Sun Valley, with three other California locations and one in Phoenix. Frazier Aviation in San Fernando has been around for almost as long, since 1953, although Bob Frazier did not start working there until the mid 1970s, trading in his law school education to oversee the manufacturing of aircraft parts. In the same vein as Sherman, the most noticeable change Frazier has witnessed is the loss of what he calls the “true machinist;” the generalist working with sheet metal who could also be a lathe operator and maybe a welder. Modern technology did away with the manual operation of machinery, replacing it with computerized equipment using software and put in motion with the push of a button. This automation does a job in the fraction of the time of the old manual method. “It takes a whole different breed [of machinist] than it took years and years and years ago,” Frazier said. Fewer true machinists and small job shops doesn’t mean that business is bad for either Frazier or Sherman. To make it in manufacturing in the 21st century one goes where the competition isn’t. The Valley has ample sub-contractors contributing to new aircraft on the assembly line so Frazier stakes its business on the production of spare parts. The types of planes it supports and the fact they are all over the world gives the company continuous orders, Frazier said. Industrial Metal continues a policy set decades ago of not requiring a minimum order for its products. Catering to the small- and mid-size manufacturers is a double-edged sword for Industrial Metal. They lose business when companies of that size close but they receive new orders when a small shop opens because those operators cannot afford to go to larger suppliers. “We don’t turn our noses up at the little guy,” Sherman said. “That has been our bread and butter.” Blake Wire and Cable Corp. began as a distributor of wire products to aerospace and aviation customers and expanded into manufacturing as a value-added element of that business. As a distributor, the Van Nuys firm sells commodities available off the shelf and made by a variety of companies, said its president Robert Weiner, who has been with the business for 35 years. As a manufacturer, a large part of their business comes from orders of specialized and custom-made products; those where there is a demand for quantities that don’t meet certain minimums or lead times. “Our ability to produce a product faster than other companies is a necessity in our business,” Weiner said.