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Austin American Statesman - 10/12/2006

Wimberley City Hall move questioned

Something smells in Wimberley, some residents say, and it's not Cypress Creek.

At a town hall meeting Monday, more than 40 residents protested Mayor Tom Haley's plan to move City Hall from its current rented space on RM 12 to a strip mall owned by one of his major campaign contributors, developer Todd Routh.

At the meeting, Haley said he did not call for open bids on the new lease because the contract did not involve a capital purchase or public works project.

"There was nothing on my part that involved doing any favors for" Routh, Haley said.

But, Wimberley resident David Joiner said, "it just doesn't pass the smell test."

Although it's about 40 cents per square foot cheaper, the new space will cost $3,900 more a year. Moving the offices will cost $10,000 more.

Wimberley now pays $3,475 a month for about 2,556 square feet of office space in a small shopping center on in the village center.

The city would pay $3,800 for 4,000 square feet under a one-year lease in its new home at the Plaza del Sol strip mall on RM 12, about a mile south.

Plaza del Sol is owned by Routh, an Austin real estate developer who gave Haley a $1,000 campaign contribution in March 2003. It was one of the largest checks Haley received; two other donors also contributed $1,000 to Haley's campaign.

Haley, who described Routh as a friend and former banking client, said he doesn't recall telling the council, which unanimously approved the move, about the contribution or his relationship to Routh.

Haley said he looked at two other possible locations for City Hall but neither was suitable.

The move, planned for Oct. 21 and 22, will give the six city employees more office space and provide a larger council chambers and more parking, Haley said. Haley said he did not contact the city's current landlord about renewing or renegotiating the city's lease.

City Attorney Patty Akers said there is nothing unethical about the new lease or the mayor's relationship with the city's new landlord.

The mayor and council members must disclose any current business relationships that might pose a conflict of interest, but those disclosure laws don't apply to prior business relationships, Akers said.

"In a small town, there wouldn't be any place you can rent that wouldn't have participated with someone on council," she said.

But Jeff Brooks, a public interest advocate with the Texas Public Interest Research Group, said regardless of the lease's legality, elected officials should avoid even the appearance of impropriety. "It's possible to do things that are legal and are still not appropriate," Brooks said.

Routh said he's known Haley for more than 12 years and contributed to Haley's campaign because he thought Haley would be a good mayor.

The move to Plaza del Sol had come up five years before, Routh said. The city had called looking to lease space in the then-fully occupied strip mall, he said.

The lease was an honest transaction, Routh said, adding that he would release the city from its lease without any penalties if the city wished.

"I don't think for a $1,000 donation (Haley) is going to move City Hall," Routh said. "If it was $100,000 or $200,000 maybe, but not for $1,000."

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