SAN FERNANDO VALLEY FAIR / AUDIT 51ST DISTRICT AGRICULTURAL ASSOCIATION

Motion - The 2007 San Fernando Valley Fair festivities will not be held in the San Fernando Valley or include a livestock exhibit as part of its main festivities. The Board of Directors of the 51st District Agricultural Association ("The District"), which is the responsible entity for the operations, management and execution of the San Fernando Valley Fair, have voted to relocate the 2007 Valley Fair outside of its boundaries and to house the livestock exhibit apart from the main Fair. The San Fernando Valley Fair this year has relocated to the Saugus Speedway in the City of Saugus in the Santa Clarita Valley. Using the Association's own maps, the new location is not within the boundaries of the 51st District Agricultural Association. In 1946, the 51st District Agricultural Association was created by the State of California to serve the people of the San Fernando Valley. The Association's map outlining the boundary area of the San Fernando Valley Fair includes the entire San Fernando Valley. The mission statement of the District requires it to produce an event which preserves the San Fernando Valley's agricultural heritage and enhances corporate and technological advances while promoting educational opportunities, competitive exhibits and wholesome family entertainment. The State of California and local counties have been conducting fairs for more than 100 years. They have been well attended and have provided a boost to local economies. The livestock exhibit has been an integral and important component of the fairs providing educational value and opportunities to thousands of students who participate. Members of local 4-H clubs and Future Farmers of America chapters prepare year-round to have the opportunity to exhibit and auction the livestock they have raised. The fact that the San Fernando Valley Fair's livestock exhibit this year was relocated 5 times. The last location, ultimately being held more than 15 miles away from the main Fair, has still not been finalized at the Hansen Dam Equestrian Center. This state of affairs brings into question the Association's ability to fulfill its core mission of preserving the agricultural heritage of the San Fernando Valley Fair. The significant financial resources, including $100,000 dollars from CD 7 funds and Special Event Fee waivers, that have been invested by the City of Los Angeles and its residents to improve the infrastructure needs of the San Fernando Valley Fair in order to conduct the fair within the City of Los Angeles boundaries have become futile. The District's Board of Directors actions this year to move the San Fernando Valley Fair out of the San Fernando Valley and to relocate the livestock exhibit apart from the main Fair's festivities have placed an undue burden on the student participants and fairgoers from the City of Los Angeles who look forward every year to attending and participating in the San Fernando Valley Fair. THEREFORE MOVE, that the City Council direct the City Attorney to research, develop and report the legal remedies the City may have available in regards to the following questions and to report to the Education and Neighborhoods Committee within 45 days: 1) Were the proper procedures complied with and approvals obtained by the 51st District Agricultural Association Board of Directors in voting to relocate the San Fernando Valley Fair outside of its established boundaries to the Saugus Speedway in the City of Santa Clarita? Were any state laws violated in the relocation? 2) Did the 51st District Agricultural Association Board of Directors violate its mission statement by relocating the livestock exhibit apart from the main Fair? 3) What legal remedies may be available to the City of Los Angeles relative to the 51st District Agricultural Association legal commitments in using city funds and resources for infrastructure improvements to the San Fernando Valley Fair? 4) What legal remedies may be available to the student participants who relied on the commitments made by the 51st District Agricultural Association allowing them to exhibit and auction their livestock at the San Fernando Valley Fair? FURTHER MOVE, that the City Council request the City Controller to conduct an audit of the 51st District Agricultural Association absent an audit by the State Joint Legislative Audit Committee or to work in cooperation with the State Joint Legislative Audit Committee in their audit of the 51st District Agricultural Association. FURTHER MOVE, that the Council direct the Chief Legislative Analyst to research the historical financial investments the City has made to the San Fernando Valley Fair and report back to the Council within 30 days. REFER TO COUNCIL FILE 07-0002-S120