ATHENS SERVICES' POLITICAL CONTROL

Athens Services is a family-owned company under the name of Arakelian Enterprises with its initial agent for service of process as Ron J. Arakelian, Jr. 14049 Valley Blvd., City of Industry, CA 91745.  It became a private corporation in 1993.  Athens Services is extremely politically involved by contributing large sums of money to candidates. It does not exclude the City of Whittier.  Up until seven years ago, the City contracted with Republic Services which is a  publicly traded company.

Athen Services is very much involved in political affairs.  They have several political action committees (PAC). Gary Clifford is listed as the Executive Vice President and they give thousands of contributions to local and state politicians in California including our own Whittier City Council.  In fact, Gary Clifford is a registered lobbyist for Athens.   

Athens Services and Gary Clifford have been in the news.  According to an article by Jim Newton of the Los Angeles Times, Clifford had teenagers arrested for vandalizing his campaign signs (they were placing stickers on them) in 2007 while campaigning for the Glendora City Council.  Now he serves on the Glendora School District Board.  He gave Fernando Dutra $1,000.00. Athens gave $5,000.00 to Committee on Yes for Prop "W" ran by no other than the Henderson family (Ken and Bob).

In 2008 Montebello Council members Rosemarie Vasquez, Kathy Salazar, and Robert Urteaga planned to vote on a contract for Athens Services (AKA: Arakelian Enterprises, Inc.).  Twenty Montebello residents appeared in front of them to express their disapproval. Ignoring their constituents, they voted to give Athens Services a 15-year contract worth $150 million.  Resident Mike Torres filed a writ of mandate setting aside the contract due to a conflict of interest. Torres prevailed, and the contract was voided.

The City of Montebello then sued the same council members, alleging their actions about the Athens contract, violated the law (It should be noted that Athens invested $350,000.00 in opposing a recall of one of the council members).  Athens Services went to the council members' rescue and filed an anti-SLAPP suit, which the court denied but reserved under appeal. Eventually, the court stated, “… the votes cast in favor of the contract were protected activity under California Code of Civil Procedure 425.16."  Legal fees alone cost the city $250,000.00.

In 2009, the Pasadena Star News wrote an article authored by Alfred Lee titled, "Prosecutors Allege Temple City Campaign Run by Trash Hauler".  The article explains how Councilman Capra of Temple City filed a statement saying he planned to spend less than $1,000.00 on his campaign.  Within days, a committee named California Leadership Alliance gave him $6,000.00. The committee received $7,500.00 from Athens Services.  The committee also reported giving consultant Michael Lewis $4,000.00 in the form of campaign expenditures.  Lewis served as Athens Services' spokesperson according to LA Daily News, Daily Breeze, and the San Gabriel Valley Tribune.  It is unknown if he currently serves as their spokesman, however, sources have informed me that he is a consultant for them.*

Guess who else Michael Lewis helped? Cathy Warner, Fernando Dutra, Joe Vinatieri, and Octavio Martinez.  Athens gave Octavio Martinez $4,900.00 in 2022. Cathy Warner paid Lewis $3,000.00 from her campaign funds as a "consultant."  Joe Vinatieri also paid Lewis $5,000.00 for consulting services in his 2022 election. In January 2022 Fernando Dutra reimbursed Michael Lewis $941.99 for campaign signs. In January 2018 Lewis made an intermediary payment in the amount of $2,368.25 to Dutra's campaign (Not sure on whose behalf).  In March 2018 Lewis gave another intermediary payment of $1,279.25 to Dutra's campaign. Lewis is also part of Biz Fed as seen here. Biz Fed donated to Cathy Warner's campaign. Athens has contributed to Biz Fed's PAC. Lewis is also involved with the Building Industry of Southern California (BISC) through his own non-profit organization called Construction Industry Coalition on Water Quality and Construction Industry on Air Quality.  The BISC donated $500.00 to Dutra's campaign in 2018.

According to Lewis' own website, the purpose of these two organizations is to advocate on behalf of the construction industry. A review of his non-profit tax filings showed  Lewis has been paid (through Lewis Associates LLC) well over $100,000.00 yearly through funds he receives in the form of grants from numerous building industry associations.  In addition to that Lewis Associates LLC has been suspended to do business in the State of California, according to the SOS's website which indicates a labor judgment. Although after finding out we were looking into him, it appears he updated his business status. 

Warner's adult children either work or have worked for Athens Services in the past.  A public internet search revealed a website called Wiza, that has information that Ashley Warner was a Senior Accountant with Athens as of September 2021 (she may possibly no longer work there).  Her son, Christian Warner, is Athens' Senior Vice President of Contract Compliance, according to his LinkedIn page.  We know Gary Clifford works for Athens and is also a registered lobbyist for Athens, apparently based on the article previously mentioned Michael Lewis is or was Athen's spokesman. Why do I bring this up?

Although it is not unusual for cities to renegotiate a contract when they are happy with the service; what IS unusual is that the Athens and Republic Services contract does not expire until 2025.  So why is the city council in a rush to renegotiate so soon?  It would seem based on history, that many politicians that receive contributions from Athens Services appear (based on newspaper articles) to just give Athens a contract without an RFP (request for proposals).  All trash haulers should be able to submit a proposal, not just Athens. Is this a "Pay to Play" type of contract?  Pay to Play was not illegal until recently, the governor signed into law a new law that prohibits the city council to receive a contribution of $250.00 or more and participate in a contract proceeding. The FPPC recently mailed out letters to all city attorneys and council members reminding them of the new law.

The question remains, will Warner, Vinatieri, Octavio Martinez, and Dutra recuse themselves?  Do you now see how a conflict of interest is created by having a trash hauler pay for your campaign?  Under the new law, all of them would have to recuse themselves had they accepted these contributions this year.  With elections coming up, I wonder... if that has anything to do with this contract.  The bigger question is why would we want a trash hauler in our city with a reputation that, in my opinion, is questionable?  And why would city council members and the city manager place themselves in such a quandary with regard to city contracts?

This is another reason why we support Whittier term limits.

Correction: Christian Warner is the Senior Vice President of Contract Compliance, not the Chief Financial Officer as stated on May 9th, 2023.

*Correction 08-09-23: Michael Lewis has served as Athen Services' Spokesperson information added.  It is unknown if he currently is their spokesperson. Biz Fed PAC Information has been added on Athens Added and typos have been corrected.