Timeline on Oil Project
December 25, 1995 – Whittier Main Oil Field purchased by City using
L.A.County taxpayer funds from Prop “A”
April 23, 1996 - Tom Mach former Whittier City Manager sends letter to
County and Santa Monica Mountain Conservancy saying Whittier will
keeps hills as open spaces in perpetuity(forever).
2003 – Puente Hills landfill gets its final permit renewal for operation, good
till November 2013. Puente Hills Habitat Authority will lose its funding in
November of 2013.
May 19, 2005 –Matrix Oil facility fire in Honolulu Terrace, Whittier, CA.
One man dies (employee of contractor that works for Matrix) from explosion
and fire
January 2006 - A land Quick Claim agreement is done with the City, Mc
Farland and Chevron about land in the Whittier Landfill (Grainger Canyon).
February 1, 2006 - City Manager Steve Helvey plays golf with Mike
McCaskey VP of Matrix Oil
June 2006 - Matrix enters into an agreement with Clayton Williams Energy
of Texas to work together in projects in Los Angeles and Kern Counties and
Texas (Clayton Williams Energy is a billion dollar company that owns 75%
of the oil lease with the City of Whittier).
August 25, 2006 – Steve Helvey wants to pursue oil in the landfill, says
Matrix owes City a freebee so they can go over mineral rights.
September 6, 2006 - Mac McFarland consultant for Matrix Oil plays golf
with City Manager Steve Helvey.
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September 12, 2006 - Whittier City Council Voted for pipeline franchise for
Matrix Oil. Councilman Henderson declares a conflict of interest because
he receives royalties from Matrix Oil; item 14.F on Council agenda.
October 18, 2006 - Meeting between Matrix and City about development of
wells site on 2 acres of land outside of Whittier's Landfill.
November 2, 2006 - Jeff Kern (Matrix Oil) and Silas Briones visit Landfill
to see wells "Central Fee 63" and "Savage 1" to see if they are producers.
November 14, 2006 - E-Mail from Jeff Kerns (Matrix Oil) to Mike
McCaskey (VP of Matrix Oil) and Mac McFarland (Consultant for Matrix
Oil) talks about meeting on October 18, 2006 with City; Matrix trying to
make a deal with the City to drill for oil.
November 16, 2006 - E-Mail between Matrix and City about drilling
outside of the Landfill on a 2 acre site. They are talking about trying to
make a deal to drill in the preserve (old Chevron Property).
2007 – LSA hired by Matrix to do an environmental study on old Whittier
Main Oil field.
May 18, 2007 - City Manager Steve Helvey plays golf with Englander
and Associates PR firm that was hired later by Matrix Oil to sell the
project to the Community. Our Supervisor Don Knabe's son Matt
works for this company.
November 27, 2007 – Whittier signs a “Letter of Intent” with Matrix Oil
about Whittier Oil Project.
November 30, 2007 - City of Whittier hires Attorney Lourie Collins to help
put oil deal together
December 2007 - First car dealership closes in Whittier
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January 10, 2008 - Meeting held that was sponsored by JC McFarland
(Matrix Consultant, oil tycoon and citizen of Whittier). Meeting titled
"Meeting between Whittier Main Parties" they are Whittier City
Councilman Bob Henderson, Whittier City Manager Steve Helvey, Attorney
for Habitat Authority Laurie Collins, Director of the Habitat Authority
Andrea Gullo, Whittier Dept head David Peiser, Matrix President Johnny
Jordan, Vice President and lead Council of Clayton Williams Energy Mark
Tisdale, Mel Riggs?, Vice president of Matrix Oil Mike Mc Caskey,
Geologist for Matrix Oil Jeff Kerns and employee of the City of Whittier
Melonie Kuegler. Metting was held at Palm Park Oak room. Here is what
the e-mail said.
We are confirmed for our "meet and greet" and data sharing
gathering next Thursday,
January 19th at 11: 30 AM at the Oak Room located in the Palm Park
Recreation Center (meeting
room next to pool).
Representatives from the City, the Habitat Authority, Matrix Oil and
their industry partner, Clayton Williams Energy, are invited to meet
and become acquainted, and to share in some preliminary geological and
engineering information which has been accumulated to date. Lunch
will be provided.
Immediately following this meeting, the Habitat Authority reps will conduct a
tour of the Whittier Main area for all interested parties
January 25, 2008 – City (Steve Helvey) and Clayton Williams (Mark
Tisdale) starting to work on terms of the lease together. Bid does not go out
until August 2008. Matrix and Clayton are full steam ahead on the project.
(info from e-mail)
March 12, 2008 - Whittier Officials through the WDN said they plan to
extract oil from our hills. They instructed Matrix to do a habitat study with
LSA. No lease has been signed yet.
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March 12, 2008 - WDN article below (Project does not go to bid until
August 2008).
March 18, 2008 - Attorney Lorie Collins resigns. She was hired November
2007 to unwind Prop "A"
April 22, 2012 – Whittier Council Agenda Report - City staff is
in the process of assembling a team of key staff and
consultants to assist the City in evaluating a project to
extract minerals from the old Whittier Main Field This
report is to advise the City Council on the status of the
project team and associated professional service
agreements
City Staff on the Project Team
Specific staff members involved will vary according to the needs of the
project at any
particular time During the initial project conceptual and development
phases, key City
members include City Manager Steve Helvey. Assistant City Manager Nancy
Mendez,
City Attorney Dick Jones, Public Works Director David Peiser, Community
Development, Director Jeff Collier, and Controller Rod Hill In addition,
the City Council asked Council Member Bob Henderson to work with Mr
Helvey during the negotiations in light of his dua! role as Chairman of
the Board of Directors of the Puente Hills Landfill Native Habitat
Authority (a joint powers agency of which the City is a member), The
Habitat Authority manages the City's open space property that was once
the Whittier Main Field when owned by Chevron and Unocal
These are the same people that attended the meeting on January 10,
2008. How can that be? Isn’t the City just now putting a team together.
Is the City lying to the public? Whittier signed an agreement with the Oil
Companies in January 2008 (there is an e-mail that talks about signing a
letter of agreement.
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April 24, 2008 - E-mail from Whittier City Manager Steve Helvey to Mike
McCaskey (VP of Matrix Oil) and Mac McFarland (Consultant for Matrix
Oil) - Helvey talks about single source bid to Matrix. Project does not go
out to Public Bid until August 26, 2008.
June 16, 2008 - City Manager Steve Helvey plays golf with our Supervisor
Don Knabe
June 24, 2008 – Excerpt from Whittier City Council Agenda - The City is
studying the extraction of minerals (oil, natural gas, water) underlying
approximately 1,200 acres of land owned by the City that was previously
developed for oil extraction.
How can the City be studying this? They have been working on the oil
project since November 2006 and signed a letter of intent in January 2008.
The deal before the deal.
August 26, 2008 – Project goes out to bid
October 2, 2008 - Matrix is the only bidder.
October 28, 2008 – City and Matrix sign oil lease without County’s
permission.
November 14, 2008 - City Manager Steve Helvey plays golf with Matt
Knabe son of our Supervisor Don Knabe. Matt works for PR firm
representing Matrix Oil.
April 29, 2009 - WSJ article - Bob Henderson, the town's mayor, had a
revelation. "I was sitting at home, just idly thinking about this possibility of
oil drilling and suddenly thought: 'Oh, my God, when I purchased the old
Chevron property, we demanded they give us the oil rights.'" The demand
was made so Whittier could convert the area into a wilderness preserve. Says
Mr. Henderson: "its home to an awful lot of animals -- bobcats, coyotes,
hundreds of birds." Turns out that Bob lied. He got together with the oil
company in 2006 to start the project.
January 20, 2010 - Scope of Work document was introduced on the
Whittier Main Oil Field Project.
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April 12, 2010 - Clayton Williams Energy introduces Whittier Oil Project to
New York Conference (IPAA and OGIS)
May 25, 2010 - City of Whittier hires Esther Feldman to unwind Prop "A"
and lobby the L.A. County.
September 7, 2010 – Whittier City Manager Steve Helvey sends an e-mail
to Councilman Bob Henderson, Mike McCaskey VP of Matrix Oil, Matt
Knabe son of our County Supervisor and PR Company of Matrix Oil about
Randal Martinez (current president of Friendly Hills Property owners
Association). Mr. Martinez provided information to Steve Helvey about
how the FHPOA would vote along with names, address and phone numbers.
September 8, 2010 – Matrix attends meeting of FHPOA to talk to them
about oil project.
September 9, 2010 – Matrix proposes to move road back 165 ft. from
behind homes on Lodosa.
September 10, 2010- WDN article - Henderson gives Matrix Royalties to
his son.
October 2010 - OSLDF Lawsuit filed against the Oil Project
October 7, 2010 – 1st DEIR on first project released.
November 19, 2010 - City Manager Steve Helvey plays golf with Havey
Englander whose PR firm represents Matrix Oil and our Supervisor Don
Knabe's son Matt works for Englander's company.
April 2011 - City of Whittier extends lease with Matrix, Henderson says
City will be sued if they don't.
May 19, 2011 - Mike McCaskey VP of Matrix Oil says "In 2006 Matrix
approached the City to potentially develop certain lands near the City's
landfill".
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June 5, 2011 - WDN article - Puente Hills habitat Authority to have lapse
in funding. We use to receive 1.8 million (from the landfill) and it has been
cut in half with the recession," Henderson said. Henderson said he doesn't
know yet what the authority will do. Another possibility is the proposal to
drill for oil on city-owned property in the Puente Hills area. Some of that
Money would go to the authority. Here is what was put into the lease on
October 28, 2008. It clearly shows that Mr. Henderson had already
negotiated to get money for the habitat Authority. They will be getting
large annual payments and royalties. Guess he was planning ahead.
Look below
WHITTIER MAIN 2008 MINERAL EXTRACTION
OIL, GAS AND MINERAL LEASE
THIS OIL, GAS AND MINERAL LEASE (hereinafter "Lease") is, made and entered into this 28th day of
October, 2008, by and between the CITY OF WHITTIER, a charter municipality of the State of California with a
mailing address at 13230 Penn Street, Whittier, CA 90602 (hereinafter called "Lessor"), and Matrix Oil Corporation, a
California corporation (as to an undivided 25%), with a mailing address at 104 Anapamu, Santa Barbara, CA 93101
and Clayton Williams Energy, Inc., a Delaware corporation (as to an undivided 75%), with a mailing address at 6
Desta Drive, Suite 6500, Midland, TX 79705 (hereinafter called "Lessee").
2.2 Management Fee and Habitat Enhancement Fee. Lessee shall pay the following
management fee and habitat enhancement fee to the Puente Hills Landfill Native Habitat Preservation Authority:
(a) Management Fee. The sum of Five Thousand Dollars ($5,000.00) per month commencing
on the date of acceptance in writing by Lessee of a Conditional Use Permit issued by the City of Whittier in
accordance with the provisions of Paragraph 6.1, hereof, which management fee shall be increased to Seven
Thousand Dollars ($7,000.00) per month commencing on the commencement of drilling operations (as defined in
Paragraph 17.(a), hereof), and continuing annually thereafter on or before each anniversary of such date.
(b) Habitat Enhancement Fee. The sum of One Hundred Thousand Dollars ($100,000.00) per
year commencing on the date of commencement of drilling operations (as defined in Paragraph 17.(a), hereof) on
the Leased Land pursuant to an issued and accepted Conditional Use Permit and continuing annually thereafter
on or before each next ensuing anniversary of the date of Lessee's acceptance of such Conditional Use Permit.
(c) CPI Adjustment of Management Fee and Habitat Enhancement Fee. The foregoing management and habitat
enhancement fees shall be increased annually in a percentage equal to the percentage increase, if any, in the U.S.
Department of Labor Consumer Price Index, All Goods-All Consumers, for the Los Angeles Metropolitan Area (or
a reasonably equivalent replacement im;lex to be selected by Lessor if such index is no longer published)
commencing on the second anniversary of the date on which both such fees were paid.
(d) Credit for Portion of Incremental Royalty. If and to the extent that Lessee pays a portion of
an incremental increase in royalty hereunder to the Puente Hills .Landfill Native Habitat Preservation Authority
pursuant to Paragraph 7.7, hereof, such incremental royalty amount paid each year to the Puente Hills Landfill
Native
Habitat Preservation Authority shall be a credit against the next ensuing management fee and habitat
enhancement
fee.
3.1. Payments. The payments required to be paid by Lessee hereunder shall be made by
check made payable to, and mailed to:
To the Puente Hills Landfill Native Habitat
Preservation Authority:
Puente Hills Landfill Native Habitat Preservation Authority
AnN: Andrea Gullo, Executive Director
7702 Walnut Street, Suite C
Whittier, CA 90602
7.7 Payment of a Portion of Incremental Increased Royalties to the Puente Hills Landfill Native
Habitat Preservation Authority. If and to the extent that an incremental increased royalty becomes
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payable to Lessor hereunder, Lessor may direct Lessee by written notice to Lessee, to pay a portion
thereof directly to the Puente Hills Landfill Native habitat Preservation Authority.
July 21, 2011 - WDN article - Matrix asked to spend 19 million to buy land
as part of Whittier Project. In a WDN article on August 14, 2011 Mc
Caskey says Matrix makes about 5 million annually. So how can they pay
for 19 million dollars of land? This is almost 4X's their annual income.
October 2011 - Planning commission votes to approve Oil Project.
November 2011 - City Council votes to approve Oil Project
December 2, 2011 - Settlement hearing on SLAPP
December 23, 2011 – OSLDF files a CEQA lawsuit.
January 21, 2012 - Matrix announcement about La Habra Heights oil field
January 23, 2012 - Matrix expands their Operation to 70 acres next to
Whittier's border. Expanded project is now 1.6 miles from proposed
Whittier Oil Project.
February 24, 2012 – MRCA (Mountain Recreation Conservation Authority)
files lawsuit against City, City Council, LA County etc regarding breach of
contract, violation of Prop A bond among other issues.
March 5, 2012 – WDN – LA County reopens investigation into whether
Esther Feldman was lobbying without properly registering.
May 9, 2012 - Whittier sends check to L.A. County of $325,000.00 for 7
acre pad for oil well site.
June 6, 2012 - L.A. County returns the $325,000.00 check to Whittier for 7
acres. County did not agree on payment.
August 8, 2012 - L.A. County finds both the City of Whittier and Esther
Feldman guilty of violating the County's lobbying ordnance.
September 14, 2012 - Opens Space Legal Defense Fund settles there
lawsuit so State can proceed with theirs.
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September 28, 2012 - Kamala Harris California State Attorney General files
suit against the City of Whittier, County of Los Angeles and the oil
companies over the oil project.
October 25, 2012 - Los Angeles County files suit against the City of
Whittier the oil companies and the oil project.
November 13, 2012 - Puente Hills Habitat Authority (Whittier Councilman
Bob Henderson is Chairman of since 1994) hires same law firm (Richards,
Watson and Gershon) that Whittier hired to defend itself against the lawsuits
resulting from the oil project. Habitat Authority is named in the lawsuits.
November 30, 2012 - Letter dated April 23, 1996 posted on WHOW's
website from former City Manager Tom Mach said the City would keep the
hills as open spaces in perpetuity (forever).
December 14, 2012 - Taxpayer group "PROP A PROTECTIVE
ASSOCIATION" file suit against the City of Whittier and the oil companies.
December 2012 - Mid December 2012 MRCA has now filed an injunction
to stop the oil project along with Los Angeles County. That would stop any
drilling despite what dates Bob Henderson says regarding when they will
start to drill.
January 28, 2013 - Injunction hearing scheduled. Matrix disqualifies the
judge so hearing is delayed.
January 30, 2013 - Matrix starts moving heavy equipment in to start the oil
project.
January 31, 2013 - An injunction is issued to stop the oil project. Matrix is
only allowed to clear brush in a limited area. L.A. County Supervisor Gloria
Molina sends staffers to stop the project.
February 21, 2013 - Next injunction hearing is scheduled.
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June 6, 2013 – Trail against the Oil Project Starts. Judge rules against the
oil project.
June 13,2013 – Judge shuts down oil project with a preliminary injunction.
July 8, 2013 – Whittier Daily News article talks about settlement between
Oil Companies and MRCA.
August 15, 2013 - MRCA drops lawsuit and settles with Whittier and the
Oil Companies for 11.25 million dollars annually.
October 29, 2013 - At a Public Hearing held at the L.A. County Board of
Supervisors. The Supervisors ruled 5 to 0 not to change the "Land Use"
which stops the project for now.
October 31, 2013 - Puente Hills Landfill closes; Bob Henderson's Habitat
Authority will lose funding. Now seeks oil drilling on open space land
managed by Habitat Authority to renew revenue stream. Money from oil
negotiated for Habitat Authority in sec. 2.2 of lease on Oct 28, 2008. City
says they will give Habitat Authority portion of their royalties (May 2012).
Players:
Steve Helvey - Whittier City Manager
Bob Henderson - Whittier City Councilman/Chairman of Puente Hills
Andrea Gullo Director - Puente Hills Habitat Authority
Johnny Jordan - President Matrix Oil
Mike McCaskey - VP of Matrix Oil
Jeff Kerns - Matrix Oil
Mark Tisdale - VP of Clayton Williams Energy (Oil Company)
Lourie Collins - Attorney hired by City and Puente Hills Habitat Authority
David Pelser - Director of Public Works, City of Whittier
Melonie Kruegler - City of Whittier
J.C. McFarland - Consultant for Matrix Oil and Whittier City Councilman
Greg Nordbaks Campaign Treasure for all of his elections.
There may be others but these are the main players.
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