Tag Archives: AMDC

A Vote Without a Decision: A Transcript

Project Pascalis is Punted Two Weeks Down the Road

by Don Moniak
September 12, 2022

On Friday, September 9, 2022, the Aiken Municipal Development Commission (AMDC) met for the first time in three months. For more than three hours, the Commission met in a closed door, Executive Session to discuss legal issues pertaining to its beleaguered, $100 million plus demolition and redevelopment effort in downtown Aiken known as Project Pascalis. The notification of a special Executive Session meeting was made on September 8 — at which time the commission also cancelled its scheduled September 13th meeting.  

It is uncertain who was in the Executive Session, and the discussion remains confidential. But after leaving “Executive Committee,” five of the six remaining original voting members entered into a public session that lasted less than three minutes. (Three other commissioners have no vote because they are not city residents, and were appointed to the positions in contradiction of City law). 

The brief public session was marked by: 

  • A reference to an Executive Session decision to take action, even though voting during Executive Sessions is illegal; 
  • A puzzling description of the contract with Pascalis project developer RPM Development Services as “purported;’ 
  • An implicit acknowledgement that the AMDC violated South Carolina’s Community Development Law;” and
  • A seconded motion to stop Project Pascalis overruled by a motion to amend, without any vote on the original motion. 

The meeting was taped by a member of the public.

The following transcript is now provided: 

AMDC Chair Keith Wood: Okay so we’ve taken the appropriate action to come out of Executive Committee and we are now in public session of the AMDC Meeting of September the ninth. We have decided to take some action. So I will entertain a motion relative to the action that we discussed.

Vice Chair Chris Verenes: Mr Chairman, I make a motion that we stop Project Pascalis, that we declare the purported existing contract null and void, and thirdly we propose to either amend or cancel the redevelopment plan so we can follow South Carolina Community Development Law.” 

Chairman Wood: I second that motion. 

Chairman Wood: Discussion? 

(5 seconds pass). 

Commissioner David Jameson: Mr Chairman, I agree with this motion but based on our counsel’s recommendation and additional due diligence that I feel like is needed I’d like to motion to amend to continue this to the week of September 26th.” 

Commissioner Doug Slaughter: I second that motion.

Chairman Wood: Any discussion? 

For the record we have Philip Merry on the phone, who is a Commissioner. We also have Stuart McVean here. Stuart technically is not a voting member of the Commission, but he has been involved and engaged in this process from Day one. His opinion is extremely valuable to us, which is why he is here but he cannot vote.

So we have a seconded motion, is there any discussion before we take a vote? 

Okay, all in favor of accepting the approval of the amended motion David Jameson laid out please say Aye.

(Only Ayes are heard) 



Chairman Wood: We have a full majority of the quorum that we have here today. That is all the action we will take today. We will set a meeting time the week of September 26to further discuss David’s motion. 

[Meeting Adjourned].

Thus, the AMDC punted their decision to an undefined date that is likely to be announced at the last possible moment. 

“The AECOM Plan”

False Premises, Misdirection, and Dismissal of Public Input Characterize Aiken’s Master Economic Development Plan. 

Recently obtained information (1) has revealed that the City of Aiken’s Master Economic Development Plan, also known as “The AECOM Plan,” (2) was formulated, in part, on the basis of a “stakeholders workshop” that involved a single non-governmental group: The Aiken Chamber of Commerce.

The only other participants in the February 24-25 “stakeholder workshop” conducted by the AECOM Corporation’s Planning and Consulting Division were city employees. One City Council member attended each day; Mayor Osbon attended on the first day, but not the second. No local media were invited and there was no public notification of any meeting to discuss Aiken’s economic future.

The AECOM Plan, formulated in the total absence of public input, was eventually approved and adopted by Aiken City Council under a false premise, and the report provided to City Council lacked eighty percent of the information found in today’s complete edition. Adoption and pursuit of the AECOM plan eventually led to the cascade of costly decisions and the current fiasco known as Project Pascalis. 

I. The AECOM Presence in Aiken 

The AECOM Corporation is a Fortune 500 company with nearly $20 billion a year in revenues. It is self-described as “the world’s trusted infrastructure consulting firm, partnering with clients to solve the world’s most complex challenges and build legacies for generations to come.” According to its 2021 Annual Report, AECOM’s urban planning division “continues to shape the growth of the world’s major cities, while envisioning entire new urban areas to meet future needs.” 

AECOM’s Urban Master Planning/Design sector provides “strategic planning and master planning services for new cities and major mixed-use developments in locations such as India, China, Southeast Asia, the Middle East, North Africa, the United Kingdom and the United States.” AECOM’s urban vision is largely devoid of historical preservation, and focused on eliminating “fragmented” property ownership from landscapes that can impede redevelopment into glittering, shining new landscapes. (3) 

In April 2019, the AECOM corporation’s subsidiary Management Services group, a $4.5 billion per year government services contractor, was the lead contractor in the consortium known as Savannah River Remediation, LLC (SRR, LLC) — the Department of Energy’s (DOE) primary contractor handling the massive Cold War nuclear weapon materials production legacy of dangerous, unstable, radioactive liquid waste at the agency’s vast Savannah River Site (SRS). The consortium employed nearly 2500 workers, about one quarter of the entire SRS workforce. Since 2009, SRR, LLC’s cost-plus-fee contract has been worth an average of a half billion dollars a year, and its bonuses ranged from $15 to $20 million per year. 

Partners in the consortium were other powerhouse government contractors: Bechtel National, CH2M, and BWX Technologies, Inc.; and subcontractors Orano, Atkins, and AECOM N&E Technical. When the consortium signed an eighteen month, $750 million contract extension (4) in April, 2019, AECOM Management Services’ executive workforce included future Aiken Economic Development Commission (AMDC) member and Chairman, Keith Wood, and AECOM Manager of Governmental Affairs, Lessie Price — also a longtime City Council member. 

AECOM maintained a prominent presence in downtown Aiken beginning in 2015, following its multi-billion dollar acquisition in 2014 of former SRR, LLC lead contractor, URS, Inc. The upper management team from URS transferred to AECOM. 

Next to its downtown office on Newberry Street, leased from the Aiken Corporation, was the city-owned AECOM Center of the Performing Arts, home to the nearly seventy-year old Aiken Community Theatre, which had been lured to its new downtown location in 2002 after decades of operating in Virginia Acres park. Across the street is a public art display in the parkway involving an empty, ten foot high, half-ton radioactive waste canister from the liquid radioactive waste operations, which was unveiled on November, 15, 2016. 

In February of 2020, AECOM sold its Management Services Division to private equity firms, who renamed the new company Amentum. Within a year the AECOM signs on Newberry Street were replaced by Amentum. Once again, the executive management team transferred to the newly conceived firm. Amentum-owned AECOM Energy & Construction, Inc took the place of AECOM Management Services on the waste contract. 

SRR, LLC relinquished the radioactive waste contract in early 2022, when DOE selected a new firm, Savannah River Mission Completion, LLC, to work on the tens of millions of gallons of legacy waste remaining. AECOM Energy & Construction remains a lead contractor in the new consortium. While the Amentum name is now dominant, AECOM’s presence is only slightly diminished. 

II. AECOM Takes the Economic Planning Lead in Aiken

The City of Aiken’s “Strategic Economic Development Action Plan,” also known as “the AECOM plan,” was developed between April 2019 to March, 2021 and is now considered the city’s “Master Economic Plan.” The AECOM plan subsequently provided a nebulous justification for much of the City’s $100 million dollar plus downtown demolition and redevelopment endeavor effort known as Project Pascalis. 

A key passage in the AECOM plan reflected the company’s preference for property consolidation, and would be recited in the necessary steps towards funding Project Pascalis property purchases, particularly the $10 million, August, 2021 municipal bond issuance: 

One of the major barriers to new development/redevelopment in downtown Aiken are the small parcel sizes and fragmented property ownership. This makes it difficult for both public and private entities to assemble land for larger-scale redevelopment.

According to the AECOM plan, in April, 2019 the City of Aiken “engaged” its Urban Planning and Consulting Division “to assist in the development of this strategic economic development strategy.” However, according to the newly updated document, made available via a FOIA request, the effort does not appear to have begun in earnest until December of 2019. In the newly released Appendix C, AECOM’s project leader Marcia Tobin wrote: 

As described in the opening statement and ‘Project Scope of Services’in the December 12, 2019 Economic Development & Master Planning Services, ‘The City of Aiken (Client) wants to forge a path forward for its growth and development, and to this end, is seeking the services of consultants to create a roadmap that leads to this goal.’ As an initial due diligence step in the AECOM Master Planning team’s process, the team has reviewed applicable material from numerous documents. Each of the 21 documents was reviewed and high-level goals, themes, conclusions, and recommendations were outlined. Specific, actionable vision statements were pulled out of each of these documents and organized into overarching themes.

III. The “Stakeholders Workshop” and the Four-Hour Trolley Tour

Following the document review (which produced a 45-page summary that escaped final publication), the second key basis for the AECOM plan occurred: a “stakeholders workshop” held on February 25-26, 2020. The importance of the workshop was highlighted on Page One of the plan’s Executive Summary: 

In February of 2020, AECOM held a two-day workshop with Aiken City officials and key stakeholders to discuss the City’s past, present, and future. AECOM was given a tour of the City’s historic downtown, many unique neighborhoods, key gateways, and commercial and employment nodes. Representatives discussed what they see as key impediments to the City’s future growth and development, as well as areas of opportunity. These discussions provide the framework for this Strategic Economic Development Plan.

Even though the final document repeatedly refers to a “stakeholders” meeting, implying a wide range of attendees with diverse viewpoints and interests, there was in fact only one non-governmental group represented: The Aiken Chamber of Commerce. The full listing of workshop attendees identified in the AECOM workshop summary, recently obtained via a Freedom of Information Act request, were: 

  • Two Aiken Chamber of Commerce employees: President J. David Jameson and Business Vitality Manager Mandy Collins. 
  • Mayor Rick Osbon and Council Member Ed Woltz (Council member Gail Diggs replaced Woltz on Day Two) 
  • Six City of Aiken employees (5) 
  • Five AECOM urban planners, designers, and economic analysts. (6) 

According to the newly released Appendix E, Meeting Materials, the workshop occurred over a two-day period. Day One involved a meeting with “core group (including Mayor),” followed by a half-day Trolley tour of key sites: “Downtown, Eastside, I-20 corridor, Aiken Regional Airport, USC Aiken, Southside, Westside, Aiken Mall, etc;” and finishing with a wrap-up of the day’s findings. 

The sign-in sheet shows representation by the Chamber of Commerce, Mayor Osbon, Council member Ed Woltz, and six City of Aiken employees. 

Click image to view full size.

The second day of the workshop, which included “core group checks” and “meetings with key stakeholders,” was even less well-attended, with only four employees, Council member Gail Diggs, and AECOM Urban Planner and Project leader Marcia Tobin signing in that day. 

Click image to view full size.

By the end of the workshop, a vision for Aiken was articulated that included “Continue to build its employment, both with small businesses/entrepreneurs, and with larger employers;” and “Diversify its economy, building on its strong technical and scientific professional community.” Yet, of the five “Identified Opportunities and Catalysts,” two involved major efforts for Savannah River Site, two involved other major governmental initiatives, and the remaining opportunity was the twice-annual Steeplechase event at its new property whose purchase was funded by a million dollars of City funds: 

Eighty percent of the opportunities and catalysts were predicated entirely on government funding. No small business opportunities were identified and no major private industry initiatives were envisioned. 

IV. Followup to the Workshop

Appendix E also contains a page of “interview” subjects, but there is no indication these interviews were completed. When AECOM project manager, Marcia Tobin, spoke four months later to the newly formed AMDC at its June 20, 2020 public meeting, she only referenced feedback from the workshops. According to the meeting minutes (7), she cited the “workshop” eight times in her discussion, including this relevant passage insinuating the workshop was well attended and the community was well represented. From the minutes:

She said they took that information and used it in the Goal Workshops on February 25 – 26, 2020. The purpose there was to get people together who know the area– residents, city employees, volunteers and leaders within the community who understand what has been done and where they would like to go.

On October 8th and October 27th, 2020, two more “working meetings” were held, but the meeting attendees were not noted. By this time the AECOM plan was already on the minds of AMDC members. Two days prior, at its October 6, 2020 meeting, newly appointed commissioner Philip Merry, a real estate investor and former City Council member, cited the work in the context of reworking the City’s stormwater ordinance to allow higher density housing. From the minutes:

He thought the vehicle of the AECOM Economic Development Plan might be a good place to give credence to those concerns. He noted one example is the city’s mandate for stormwater retention. He pointed out that he thought Aiken has the highest stormwater retention requirements of anyone in the state. He pointed out this requires the developer to buy more land in order to do their project, or do the project smaller, or not do the project at all. (8) 

A major new dynamic in the mix, unrecognized by the AECOM planners, was the $600 million Plutonium Settlement between the State of South Carolina and the U.S. Department of Energy. The AMDC, however, was already lobbying for a major cut of the settlement pie for Aiken County, including $15-20 million for downtown redevelopment. For the next three months, the issues of plutonium money and the AECOM Plan merged at AMDC meetings. 

V. The Final Plan 

The final plan, condensed into 43 pages, was complete by March 2021. After the AMDC passed a resolution to adopt and approve the plan, the next step was City Council approval. What amounted to a Reader’s Digest version of the AECOM Plan was included in the agenda packet for Aiken City Council’s March 22, 2021 meeting. Omitted were Appendices C, D, and E — the document review, maps and graphics, and presentation material. In fact, even the blank cover sheets for the appendices found in the final, subsequent, published edition were omitted. Less than twenty percent of the document was provided to City Council and for public viewing. 

Whereas the terms “public perception” or “public misperception” occurs six times in the original 43-page document; the term “public input” is absent. Also absent from the final report are: 

  • the word “plutonium,” despite the prospect of SRS fabricating new nuclear explosive components called “plutonium pits” being identified as an original economic “catalyst.” 
  • the term “radioactive waste,” even though the report states “the largest industry in Aiken County remains waste remediation.” 

“Plutonium” did not appear in the final product. 

Despite the absence of any significant “stakeholder” presence and local media, Tobin and her fellow project members cited the Feburary 2020 “stakeholder workshops” nine times within thirty-five pages of discussion as a validation of its work and recommendations: 

AECOM’s key takeaways from this (document) review can be found in Appendix C, Aiken Document Review. This information was reviewed and discussed with City representatives at the February 2020 workshop, to ensure that this Strategic Plan would be thorough, well-informed, and not duplicate efforts. (Page 10). 

During the two-day February 2020 workshop that AECOM held with City of Aiken stakeholders, several key issues for the City rose to the forefront of the discussion. (Page 14) 

As was discussed during the February workshop, the City is in the fortunate position of being within a reasonable commuting distance of several major employers; however, they have struggled to attract and retain young professionals/young families in recent years.” (Page 15)

With the exception of AECOM planning staffers, no major employers were present at the workshop, and no major employers or small business owners were subsequently interviewed.

During the February 2020 workshop, City stakeholders discussed a need for more housing/mixed-use residential development in the downtown area. (Page 17)

No property owners, business owners, developers, builders, or realtors were present at the workshop. 

The Hotel Aiken redevelopment project was cited by City stakeholders as another ongoing challenge(Page 18). 

The Hotel Aiken’s owner was apparently not invited to the meeting. 

During the February workshop, participants noted that, although there is some programming downtown in the form of festivals and events, there are opportunities to better activate the downtown area and make it a more vibrant, lively space. (Page 18)

No center-city merchants, residents, or property owners were present at the workshop to address the “live/work/play, 18-24-hour downtown” vision that emerged. 

During the February workshop, it was noted that outside of the annual Aiken Steeplechase event, the City has not been able to leverage its renowned equine heritage into any other significant economic development opportunities. Aiken’s horse community, many of whose members live in the historic Horse District section of the City, has a reputation for being somewhat insular. As previously noted, the City is also home to a 2,100-acre park, Hitchcock Woods, that is a popular location for trail riding, but is not well utilized by the rest of the community. (Page 24). 

No representatives from the equestrian community were present at the workshop. Despite larger discussion of equine activities and industries during the October workshops, the final report only contains references to Hitchcock Woods and the Aiken Steeplechase. The word “Polo,” for which Aiken is renowned, is missing from the final document. The highly successful Bruce’s Field equestrian center is only referenced in the context as the “former home” of the Aiken Steeplechase — and one in need of development. 

The AECOM plan failed to recognize the “old Steeplechase site” is a thriving equestrian park funded entirely by private enterprise. 

In meetings with stakeholders and during the February 2020 workshop, desire was expressed to identify and celebrate key entrances to Aiken.

This list of projects is based around key areas of focus discussed during the February workshop. (Page 31)

Although the AMDC had yet to meet by February, 2020, it figured prominently in the list of projects within the final report, including 

Explore options for property acquisition by the City/Aiken Municipal Development Commission of parcels that can be acquired, assembled, and developed for medium-to- high-density mixed-use, mixed-income residential development….Work with the Aiken Municipal Development Commission to increase awareness of available incentives for downtown development/redevelopment.

VI. The AECOM Plan Approval: No Hearings and a False Premise

A week after the March 15, 2021, announcement of a stealthy, vaguely defined AMDC-led redevelopment effort called Project Pascalis, during its meeting on March 22nd, Aiken City unanimously passed: 

A RESOLUTION ADOPTING THE AECOM ECONOMIC DEVELOPMENT ACTION PLAN AS RECOMMENDED BY THE AIKEN MUNICIPAL DEVELOPMENT COMMISSION, AND MATTERS RELATED THERETO.

This was a resolution, not an ordinance, and as such was not subjected to two public readings that require hearings. Instead, the meeting agenda merely listed a one page item under new business: 

3) Approval of AECOM Strategic Economic Development Action Plan.

The document provided in Council’s agenda packet did not include the final three appendices. If any Council members had read the document, they did not raise this point. 

Paragraph three of City Manager Stuart Bedenbaugh’s supporting memorandum presented Council with the false premise that the AECOM plan was a Redevelopment Plan: 

This Redevelopment Plan is prepared pursuant to Section 31-10-100 of the South Carolina Code of Laws.

Section 31-10-100 is the subsection of SC Community Development law that specifies ten requirements for a legal redevelopment plan. The AECOM plan addressed a few of these requirements but did so only in a general manner that does not comply with redevelopment law. At no time does the plan’s authors state it qualifies as a legally valid redevelopment plan. 

In fact, City Council had already approved a downtown Redevelopment Plan in June, 2020, called the Redevelopment 1 plan, and this is the only redevelopment plan presently approved by City Council. 

In spite of this grave oversight by Bedenbaugh and City Attorney Gary Smith, who is responsible for preparing and signing off on ordinances and resolutions, the AECOM plan was approved under this false “redevelopment plan” premise, one that Bedenbaugh argued would authorize the AMDC: 

 to acquire property, to execute contracts for clearance and preparation of land for resale, and to take other actions necessary to carry out redevelopment plans, in accordance with the provisions of this chapter.

Bedenbaugh and City Attorney Smith also failed to inform City Council that a redevelopment plan under Section 31-10-100 required a public hearing by the AMDC, followed by two public readings and hearings by City Council. This lack of diligence precipitated, in part, the lawsuit filed against the City of Aiken by nine plaintiffs on July 5, 2022, seeking an injuction against Project Pascalis. 

The following table illustrates the legal requirements for any redevelopment plan under the SC Community Development Act; and whether the AECOM plan and the Redevelopment One plan are compliant; While the Revelopment 1 plan meets legal requirements for a plan, it does not qualify as a legally valid plan for Project Pascalis, as the boundary is substantially different, no street changes are proposed, and no demolition is proposed. 

Redevelopment Plan Requirements    SC 31-10-100 AECOM Plan ComplianceRedevelopment 1 Plan Compliance 
The boundaries of the redevelopment area, with a map showing the existing uses of the real property thereinNo Yes
Land use plan of the redevelopment area showing proposed uses following redevelopment;No Yes, but nochanges in use proposed
Standards of population densities, land coverage, and building intensities in the proposed redevelopment;No Yes 
A preliminary site plan of the redevelopment area;No Yes, but much smaller than Pascalis project
A statement of the proposed changes, if any, in zoning ordinances or maps;NoAddressed, but no major changes ID’ed
A statement of any proposed changes in street layouts or street levels;No Addressed, but no changes identified 
A statement of the estimated cost and method of financing redevelopment under the redevelopment plan;NoRough cost estimates, but no definitive finance methods
A statement of such continuing controls as may be deemed necessary to effectuate the purposes of this chapter;No Yes. 
A statement of a feasible method proposed for the relocation of the families displaced.No. Addressed, but no relocations proposed. 
The commission shall hold a public hearing prior to its final adoption of a redevelopment plan. Notice of such hearing shall be given fifteen days prior thereto in a newspaper of general circulation in the municipality.No public hearing, no readings and hearings; only passed as a resolution by City Council. No public hearing by AMDC, two readings and hearings by City Council. 
A redevelopment plan may be modified at any time by the commission; provided, that if modified after the sale of real property in the redevelopment area, the modification must be consented to by the redeveloper of such real property or his successor, or their successors in interest affected by the proposed modification. N/A No modification since June 2020. 
The AECOM Plan vs. the Redevelopment One Plan: SC Community Development Act compliance

There was minimal discussion about the resolution prior to its passage. Only eleven citizens attended, as the meeting minutes describe COVID concerns and prevention guidelines as having limited attendance. 

VII. The AECOM Plan In Action: Misdirected and Misapplied

The day after the meeting, AMDC officials signed a “Cost Sharing Agreement” with Weldon Wyatt’s development firm GAC, LLC to move forward on the initial Project Pascalis effort — an agreement that would collapse within forty five days. Within the agreement was an option for the AMDC to purchase any property GAC or its affiliates purchased, or held by contract. By this time, Wyatt’s WTC Investments, LLC had already signed a $7.5 million purchase and sale agreement with Hotel Aiken owner Neel Shah involving the hotel and five other downtown properties owned by his family—The Berkman Building on Laurens Street (housing Ginger Bee, Vampire Penguin, and Beyond Bijou), the vacant Holley House, the Taj Aiken Restaurant, the historic McGhee Building (housing the vacant former CC Johnson Drug Store and three service businesses), and Warneke Cleaners. 

On March 29, 2021, building on Council’s resolution, Mayor Rick Osbon penned a letter to the AMDC: 

We appreciate the efforts the economists, planners and other experts from AECOM put into crafting it for us, but, from here on out, it becomes the AIKEN Economic Development Action Plan. It’s up to every resident of Aiken, the AMDC, the Aiken Corporation, the City Council and countless stakeholders throughout the community to join together and make this document more than a plan for the future. We need to make it our present and our reality as soon and as successfully as we possibly can. (7) 

Among Osbon’s key requests were: 

  • immediate attention to the Parkway District; 
  • the “expedited redevelopment of the stalled Hotel Aiken project;”
  • a “conference/convention facility….adjacent to sufficient first-class lodging to accommodate as many as 500 overnight and multi-night attendees.” 
  • “package and market sufficient acreage and appropriate sites” to help create more “urban-scale residential condo and apartment inventory within the downtown area.”
  • a “structured parking solution.” 

Efforts to meet all these goals were already underway with Project Pascalis, although no details would be released to the public until eight months later. 

The first Pascalis project collapsed in early May when Weldon Wyatt withdrew from the deal. As part of the negotiations to salvage the deal, Mayor Osbon met with Weldon Wyatt and Greenville based developer Andy Cajka, President of Greenville, SC based Southern Hospitality Group. A memorandum from Tim O’Briant to AMDC members Jameson, Chris Verenes, and Chairman Keith Wood described the May 3rd meeting: 

The Mayor and Weldon met with Andy on Monday, I was out of town, apparently shg hotels will possibly deliver a LOI (letter of intent) regarding the hotel this week. The mayor agreed the meeting went well and Andy was engaged in making a deal that would be privately funded based on the public dollars and incentives driving the project. Mayor indicates he deferred question about Friday negotiations and City’s position on deal points citing my absence and his lack of information on the subject.

A day later O’Briant and AMDC Treasurer and Chamber of Commerce President David Jameson had lunch with Weldon Wyatt, his investment and development partner Thomas “Chip” Goforth, and GAC Management Services employee Ryan Bland, who two weeks earlier had still held the position of City of Aiken Planning Director. O’Briant described that meeting as follows: 

David Jameson and I went to lunch with Weldon, Ryan, and Chip. Weldon continues to promote the benefits of 100 percent public funding of the entire project, but now says he doesnt’ intend to participate in the cost or the proceeds—just wants a fee/commission for the project to be successful. This despite bringing in a potential private partner with money to spend just yesterday. He is somewhat cagey and defensive and says he believes I have conveyed messages not representative of the City’s position. Indicates he believes there is some possibility the city council would accept the deal that I rejected Friday. Indicates Lessie (Price) is setting up the Thursday meeting to get everyone in one room to verify my position does not reflect that of leadership.

After that point the known paper trail ends, and the outcome of any meeting set up by Council member Lessie Price is unknown. What is known is:

  • On May 10, 2021, Aiken City Council met in closed door Executive Session for nearly two hours to discuss a range of topics, including “a possible purchase of real estate” and “a possible contractual arrangement with a real estate developer.” The outcome of that meeting was not summarized during the subsequent public session. 
  • On May 14, 2021 the Aiken Chamber of Commerce took assignment of the purchase and sale contract for the Shah’s suite of properties; and then on June 3rd took assignment, of the Anderson (Newberry Hall) contract. In all, the Chamber reimbursed Wyatt’s firms $135,000 of otherwise nonrefundable earnest money managed by City Attorney Gary Smith’s law firm. From that point, the AMDC secretly referred to the properties as “AMDC controlled.” 
  • In August 2021 Aiken City Council approved a $10 million bond issuance in support of AMDC property acquisitions in the “Parkway District,” with the AECOM Plan’s reference to “fragmented property ownership” a key justification in the supporting bond documents. 
  • AMDC Chairman Keith Wood, whose letter to City Council urging the bond passage included citations from the AECOM plan, also wrote in a July 26, 2022 letter to the Historic Aiken Foundation: “The AMDC first pursued the purchase of the property in question and those adjacent to it at the behest of Aiken City Council.” 

There is no record of Aiken City Council asking the AMDC to purchase the Pascalis project properties. Any such request made in closed-door, Executive Session would constitute a serious violation of Open Meetings law, which dictate that no votes are to be taken in Executive Session. 

When questioned about the origin of this unsubstantiated statement, neither Chairman Wood nor Tim O’Briant have offered any reply. 

VIII. Conclusion

The AECOM plan was formulated by a subsidiary of a major contractor for the largest employer in Aiken County and the entire Central Savannah River Area (CSRA). It was commissioned by a newly formed City of Aiken Economic Development Department, despite the company’s relative absence of experience in planning for small Southern towns like Aiken, whose primary draw includes the charm of its historic downtown area dominated by small, locally owned businesses, a vibrant equestrian community, and a lack of traffic jams. 

The plan was pursued in a stealth fashion with negligible public input. A “stakeholders workshop” was dominated by City of Aiken employees, many of whom did not reside in the City of Aiken at the time. The Chamber of Commerce was the only nongovernmental entity attending, and only attended the session dominated by a four-hour Trolley tour.

Yet, AECOM staff, most notably AECOM Urban Planner and Project Leader Marcia Tobin, consistently misrepresented the workshop as a diverse “stakeholders” meeting, when in reality it was at best a small, subjectively chosen, private focus group. Moreover, AECOM staff were absent when City Council approved adopting the plan, and have not issued any concerns publicly that Council and the public received less than twenty percent of the final product for review. No Council members appear to have detected the omission or registered any concerns if they had. 

While the AECOM plan does not purport to be a redevelopment plan, it was blatantly misapplied as one by the AMDC and Aiken City Council, and repeatedly used to justify huge expenditures of tax dollars to establish what City Manager Stuart Bedenbaugh openly referred to as a “land bank.” Again, AECOM planners have registered no concerns publicly over this gross misrepresentation of their work product. 

Less than two months after the AECOM plan was approved and adopted under a false pretense,  the first Project Pascalis failed. Undeterred, Aiken City Council and the AMDC doubled down, plowed forward, and then spent the next year compounding the failure to the tune of nearly $10 million of taxpayer money.  The obvious alternative of regrouping and publicly reporting the status of downtown redevelopment efforts appears to have escaped the thought process of city officials.” 

________________

References

(1) Freedom of Information Requests and Responses:

FOIA Request  #191-2022. Filed on 8/2/22 by Donald Moniak. 

Request: “Attendee list and meeting notes or minutes for the workshop described in the AECOM authored Aiken Economic Master Plan: ‘February of 2020, AECOM held a two-day workshop with Aiken City officials and key stakeholders to discuss the City’s past, present, and future. AECOM was given a tour of the City’s historic downtown, many unique neighborhoods, key gateways, and commercial and employment nodes.’ Since this is the master economic development plan, the requested information should be readily available. Posting this information to the City’s website and providing that link would constitute a sufficient FOIA response.” 

Response: The summary for the February 25-26 workshops; and the Presentation to AMDC at its June 20, 2020 meeting. 

FOIA Request #225-2022. Filed on 8/23/22 by Donald Moniak 

Request: “A copy of the AECOM contract and/or agreement to prepare and develop the “Strategic Economic Development Master Plan” for the City of Aiken, which states that “AECOM was engaged by the City of Aiken, beginning in April of 2019, to assist in the development of this strategic economic development strategy.” 2. A copy of all invoice statements for work completed by AECOM in relation to this contract, and payments for the work. 3. A copy of the following items in the report’s Appendices C, D, and E ( which are empty in the document): City of Aiken Document Review, Maps and Graphics, and Meeting Materials. This information is in the public interest, as illustrated by an abundance of references to the document by City of Aiken officials since March, 2021. Therefore, all fees should be waived and in the interest of government openness, the documents should be made available on the City of Aiken’s website. This information should also be readily available as this document forms the basis of the city’s economic plan.” 

Response: On September 5, 2022, an updated version of the AECOM plan that included Item 3 of the request, Appendices C, D, and E, was posted to the AMDC website at: 

The 43 Page document approved in March 2022 by Aiken City Council now was 247 pages. 

This document was posted surreptitiously by the AMDC, and without proper notification as required by SC FOIA. 

(2) AECOM Plan. The original document with three empty pages of appendices was removed sometime after August 23, 2022, and replaced on September 5, 2022 with the following: 

(3) AECOM 2021 Annual Report: https://aecom.com/wp-content/uploads/documents/reports/aecom-annual-report.pdf 

(4) In April 2019, AECOM led Savannah River Remediation, LLC was awarded a $750 million extension of the Savannah River Site liquid radioactive waste processing contract. In a news release about the award, AECOM described itself as: 

“AECOM (NYSE:ACM) is built to deliver a better world. We design, build, finance and operate infrastructure assets for governments, businesses and organizations. As a fully integrated firm, we connect knowledge and experience across our global network of experts to help clients solve their most complex challenges. From high-performance buildings and infrastructure, to resilient communities and environments, to stable and secure nations, our work is transformative, differentiated and vital. A Fortune 500 firm, AECOM had revenue of approximately $20.2 billion during fiscal year 2018. See how we deliver what others can only imagine at aecom.com and @AECOM.”
https://www.businesswire.com/news/home/20190402005391/en/U.S.-Department-Energy-extends-AECOM-led-joint-venture

Photos of the Radioactive Waste Public Art can be found at: https://www.postandcourier.com/aikenstandard/news/art-canister-installed/collection_354aaa5e-52c2-5887-8ae9-930a3779a18d.html#9

(5) City of Aiken employees: 

**Tim O’Briant  —  Economic Development Director

Sabine Craig  — Assistant Economic Development Director

*Stuart Bedenbaugh  — City Manager

**Ryan Bland — Planning Director (former) 

**Joy Lester — Capital Project Sales Tax Administrator

**Kim Abney  — Finance Director (former) and Assistant City Manager (former)

*Known to be a City of Aiken Resident. 
**Primary residence in 2021, according to County records, not within the City of Aiken 

(6) AECOM Team

Marcia Tobin, Project Director; a twenty two year AECOM employee based out of Knoxville,TN and Arlington, VA. 

Christine Graziano, Project Manager, Economic Development; a thirteen year AECOM employee based out of Arlington, VA 

Sarah Richards, Senior Analyst, Economic and Community Planning; a five year veteran of AECOM based out of Richmond, VA

Mickey O’Brien, Senior Urban Designer; a nineteen year AECOM veteran based out of Atlanta, GA 

John Hightower, Senior Urban Designer; a ten year AECOM/URS veteran based out of Atlanta, GA

(7) AMDC Meeting Minutes for June 20, 2020 are within the July 7, 2020 Meeting Agenda Packet: 

(8) AMDC Meeting Minutes for October 6, 2020:
https://edoc.cityofaikensc.gov/WebLink/DocView.aspx?id=531104&dbid=0&repo=City-of-Aiken-LF&cr=1

(9) Aiken City Council Meeting Agenda and Minutes for March 22, 2022:
Agenda Packet: 
https://edoc.cityofaikensc.gov/WebLink/DocView.aspx?id=553405&dbid=0&repo=City-of-Aiken-LF

Meeting Minutes:
https://edoc.cityofaikensc.gov/WebLink/DocView.aspx?id=594313&dbid=0&repo=City-of-Aiken-LF

(10) Letter from Rick Osbon to the AMDC.
https://www.cityofaikensc.gov/mayor-outlines-key-priorities-for-development-in-aiken/

(11) Memorandum from Tim O’Briant to AMDC Executive Committee. May 5, 2022. 

(12) Based on the Memorandum, Andy Cajka’s proposal is believed to be second from the bottom on the redacted review of bidders to the secretive May 2021 Solicitation for Proposalstitled “Pascalis offers comparison_Redacted

  • A “very complete letter of intent” 
  • A proposal to “contribute $1.5 million to property purchase but requires that incentives equal to any purchase price be equaled by the City incentives for a zero sum gain.” 
  • a group with “considerable experience in all aspects of project pascalis.” 

A Tree Disappears in Aiken, and a Work Description Reappears

By Donald Moniak
September 2, 2022

In the past few days a few symbolic Pascalis project changes have taken place: 

  • The small tree growing from a second floor window above Beyond Bijou was removed; and
  • Somebody in the City of Aiken overrode the decision to redact a project manager’s work descriptions from their submitted invoices. 

While the changes are not monumental, they are notable. 

A Tree No Longer Grows From a Window In Downtown Aiken

The Chinese elm sapling growing from the second floor window above Beyond Bijou at 106 Laurens Street, SW is gone. The tree was portrayed as one of many symbols of blight by the Aiken Municipal Development Association (AMDC) when it announced its $9.6 million purchase of the building and six other properties—money funded by an August, 2021 City Council approved bond issuance that failed to identify the involved properties. 

The AMDC exploited the scene to make its dubious case that: 

From every angle, the area of Downtown that makes up the Project Pascalis footprint is in need of a refresh. This highly visible block of the central business district has fallen into disrepair… (1) 

This statement was made in spite of the fact that nine existing businesses were in the “footprint,” and only two of the seven properties were vacant. 

But for the next ten months the new landlord of these properties (AMDC) failed to remove the tree, defying city codes and state of South Carolina landlord-tenant laws. The tree evolved from a public relations ploy to present downtown as “suffering from disuse and deterioration” (2) into a genuine symbol of landlord neglect. 

On August 26th, the following letter pertaining to the tree and general upkeep of AMDC properties was sent to AMDC Chairman Keith Wood: 

Chairman Wood, 

The City of Aiken‘s Municipal Development Commission (AMDC) is a landlord. South Carolina’s Landlord and Residential Tenant act applies to properties owned by the AMDC: 

(a) A landlord shall: comply with the requirements of applicable building and housing codes materially affecting health and safety;

(2) make all repairs and do whatever is reasonably necessary to put and keep the premises in a fit and habitable condition;

(3) keep all common areas of the premises in a reasonably safe condition, and, for premises containing more than four dwelling units, keep in a reasonably clean condition;”
https://www.scstatehouse.gov/code/t27c040.php”

While the AMDC could argue that the hotel is vacant and currently unfit for habitation, the Holley House and the AMDC’s five other properties are occupied.

My questions for today are: 

1. The AMDC continues to collect $11,000 to $15,000 per month in rents. Why is some of that money not going to basic upkeep of buildings? For example, why is the tree sapling still growing through the window of the 2nd Floor of the Berkman Building/Palmetto Block at 106 Laurens St, SW?”

Chairman Wood has yet to answer the letter. 

On August 29th, “A Project Pascalis Update” (3) was published that featured two photos of the tree—one by the AMDC in November 2021, and one from late July of 2022. 

Whether these letters and negative publicity had any impact, or a call to the city from a concerned citizen did the trick, is unknown. There is no longer a tree growing from the window, and the building now looks more presentable for the three successful businesses (Beyond Bijou, Vampire Penguin, and Ginger Bee) below it. 

A Project Management Work Description Reappears 

As reported in “A Project Pascalis Update,” sometime between August 23rd and August 26, 2022, the AMDC added “Project Timesheets” from its project management contractor, Capstone Services, LLC, into its “AMDC Financial Binder” file on the commission’s “Transparency” webpage. (4) This action was taken in response to a Freedom of Information Act request. 

However — even though, in March 2022, three of the timesheets had been disclosed, along with all other AMDC billings and invoices — this time the “Description of Work” column was completely redacted from every timesheet. 

To make a long story short, after an appeal to City Solicitor Laura Jordan and City Manager Stuart Bedenbaugh (who is also the City’s custodian of records), the unredacted versions and two missing timesheets are now in an updated version of the AMDC’s “Financial Binder” file. 

Conclusions: These two stories illustrate a few trends regarding the $100 million plus downtown Aiken demolition and redevelopment endeavor known as Project Pascalis. 

First, City of Aiken officials from the Mayor on down tolerated a flagrant violation of City codes for nearly a year, allowing an obvious indicator of impending blight to remain on what is essentially city owned property. 

Second, City of Aiken officials from Records Custodian and City Manager Stuart Bedenbaugh to City Solicitor Laura Jordan have tolerated flagrant, egregious violations of South Carolina’s Freedom of Information Act, allowing AMDC Executive Director Tim O’Briant to redact harmless information from commission documents; including the facts that a contractor was paid $100 per hour to attend AMDC public meetings, review environmental documents, and meet with developers—a basic project management function. No explanation has been provided for this lapse in openness by officials who are on the record claiming “transparency is key.” (5)

REFERENCES

(1) https://aikenmdc.org/2021/11/08/293/

(2) https://aikenmdc.org/2021/11/04/aiken-municipal-development-commission-to-acquire-key-properties/

(3) https://aikenchronicles.com/2022/08/29/a-project-pascalis-update/

(4) The AMDC transparency page is at: 

No new information has been proactively posted to the page since at least early June, and it is unknown how much was ever proactively posted to the page absent a FOIA request. The Transparency Page appears to have been a response to what was termed “overly broad FOIA requests” submitted in mid-March, 2022; and not an informational philanthropic acton on behalf of the AMDC. 

The AMDC financial binder can be viewed at: 

The reference to “overly broad FOIA requests” can be found at page 160. There is no definition of “overly broad” in South Carolina’s Freedom of Information Act; but it is a common bureaucratic term that functions to deter public inquiry into government actions and practices. 

(4) “Development exec promises transparency as commission moves on Hotel Aiken, other land.” Aiken Standard, November 5, 2021.

https://www.postandcourier.com/search/?f=html&q=project+pascalis+&d1=2021-03-01&d2=2021-11-10&sd=desc&l=25&t=article%2Ccollection&c%5B%5D=aikenstandard*&nsa=eedition

“‘At this point, we can come out and tell you what we’re doing,’” Tim O’Briant said at the Aiken Chamber of Commerce’s monthly breakfast forum. “‘We want the community to be involved.’”

A Project Pascalis Update

by Don Moniak
August 29, 2022

Following is an update since June 13, 2022 on various aspects of the City of Aiken’s $100 million plus demolition and redevelopment endeavor known as Project Pascalis. For information prior to that time, see A Project Pascalis Timeline. 

Four developments and trends are notable:

  1. A major lawsuit featuring nine plaintiffs and twenty-seven defendants was filed on July 5, 2022 seeking an injunction to halt the project. 
  2. The “Do It Right Alliance” amassed more than 2,000 signatures for a petition to overturn two City of Aiken ordinances; the 2022 ordinance allowing partial privatization of Newberry Street; and the 2019 ordinance establishing the AMDC. 
  3. Progress on Project Pascalis appeared to stall, and was likely in a process of reorganization prior to the lawsuit. A June 2022 billing invoice from the law firm of Pope-Flynn to the Aiken Municipal Development Commission (AMDC) indicated work on a new redevelopment plan, a new “omnibus ordinance,” and a project “pivot.” No final Master Development Agreement has been reached that would trigger demolition work and the privatization of a portion of Newberry Street.
  4. Increased secrecy surrounded the project.  Only closed-door meetings regarding the project occurred since June 21, documents containing basic information were partially redacted, an increase in denial of documents occurred, and officials have declined comment due to pending litigation—even when the issue is outside the scope of the litigation. 

Timeline Since June 21, 2022

June 13: The AMDC and City Council spend two hours in a joint closed-door Executive Session to discuss “to discuss Project Pascalis with City Council and the developers.” City Council cites the following open meeting exemption to justify closing the doors “pursuant to Section 30-4-70(a)(2) for consideration and discussion of matters related to development of Project Pascalis regarding negotiations incident to proposed contractual arrangements related to Project Pascalis and receipt of related legal advice.” 

June 21: Public comment is prohibited from Design Review Board public workshop that lasts nearly three hours. 

Prior to the workshop, AMDC Attorney Gary Pope, Jr. meets with AMDC to “work on a new direction and how to get there.” (2) 

The AMDC checking account has a balance of $101,195.30

June 22: AMDC Attorney Gary Pope, Jr. works on an “omnnibus ordinance,” and “revising the redevelopment plan,” for 3.0 hours. Details are unknown. (2) 

Gary Pope, Jr. also spends two hours reviewing South Carolina’s “Community Development Corporation Act, schedule, and proposed revisions to Project Pascalis plan.” (Community Development Corporation Act allows for the creation of non-profit corporations with “a primary mission of developing and improving low-income communities and neighborhoods through economic and related development,” and community development financial institutions to assist with credit and capital. 

https://law.justia.com/codes/south-carolina/2009/title-34/chapter-43

Page 1 of June invoice to AMDC from Pope-Flynn. Click to view full size.
Page 2 of June invoice to AMDC from Pope Flynn. Click to view full size.
AMDC payment of June invoice. Click to view full size.

June 24: The City of Aiken posts forty-five Demolition Application notices for a July 5th hearing in front of  Newberry Hall, Warneke Cleaners, the former State Farm building on Newberry Street; the McGhee Building (historic CC Johnson Drug Store, On Board Realty, Security Finance), Taj Aiken Restaurant, and the former Holley House motel on Richland Avenue.

AMDC Attorney Gary Pope, Jr. works on “redevelopment plan and necessary items to pivot project” for 5.5 hours. 

June 27: Pope-Flynn staff work 12.2 hours to “prepare for meeting at City of Aiken. Participate in Executive Session.” 

Aiken City Council votes unanimously to enter into closed-door, Executive Session “to discuss negotiations incident to proposed contractual arrangements relating to Project Pascalis and receipt of related legal advice.” The closed-door session lasts one hour, and there is no further discussion of Project Pascalis during the subsequent open meeting. 

June 29: Demolition Application from RPM Development Partners, LLC to the Design Review Board to demolish motel is withdrawn Current status of demolition plans is unknown.

July 5: Lawsuit filed on behalf of nine plaintiff’s seeking injunction to stop project; citing violations of City of Aiken ordinances and laws governing South Carolina community development, local government comprehensive planning, ethics and conduct of public officials, freedom of information, and local government planning.

Plaintiffs seek to stop Project Pascalis by asking for “a declaration from the Court that certain actions of the City and certain municipal bodies are null and void and incapable of being implemented, in whole or in part” and “injunctions preventing the continued implementation of the null and void acts.” Plaintiffs do not ask for damages. 

Court Filings to date in Blake et al vs City of Aiken et al; from most recent. 

Osbon, In His Capacity As Mayor, and City CouncilMotion/Protection from Discovery 8/22/2022-09:50
Mayor and City CouncilExhibit B: Discovery Documents
Blake, David W.Service/Acceptance Of Service on Raines Company08/17/2022-08:19
City Of AikenAnswer/Answer08/15/2022-22:45
City Of AikenMotion/Dismiss08/15/2022-22:23
Smith, GaryAnswer/Answer08/11/2022-14:54
Blake, David W.Service/Acceptance Of Service on Rpm Development Partners, LLC08/08/2022-14:41
Blake, David W.Service/Acceptance Of Service on Aiken Design Review Board07/28/2022-09:02
Smith, GaryService/Acceptance Of Service on Gary Smith07/12/2022-14:53
Blake, David W.Summons & Complaint07/05/2022-10:24

July 9: The law firm of Pope-Flynn submits $20,546.03 bill to the AMDC for fifty-nine hours of work completed in June, 2022. 

July 11: Aiken City Council meets in closed door executive session with Attorney Daniel Plyler for two hours to discuss legal matters related to the lawsuit, but a Joint executive session with the AMDC is cancelled.

Aiken City Council tables amendment to amend AMDC establishment ordinance to correspond to by-laws written by the AMDC that allows non-residents of the city who have “vested business interests” to serve as AMDC members. No questions pertaining to the tabled amendment are allowed by Presiding Officer Mayor Rick Osbon. 

July 12: AMDC Property Manager On Board Realty deposits $11,205.00 in rent payments to the AMDC checking account. 

AMDC cancels monthly meeting, reportedly due to quorum issues. 

July 13-14. In response to a citizen alert to the City of Aiken, the AMDC removes dozens of files from its “Transparency Page” at aikenmdc.org. The files contained copies of AMDC checks and personal business information that was not properly redacted. 

July 22: Historic Aiken Foundation sends letter to AMDC Chairman Keith Wood requesting increased safety and security measures at the Hotel Aiken.

July 25 to 31: City of Aiken code enforcement begin removing “Say No to Project Pascalis” signs from the right-of-ways in front of private residences, citing the city’s complex sign ordinance. 

July 26: Chairman Wood replies to Historic Aiken Foundation, denying all issues raised. 

AMDC checking account has balance of $53,014.41

July 28: Aiken Public Safety conducts first fire inspection at Hotel Aiken since March, 2021.

August 4: City of Aiken begins to routinely triple the fees for some Freedom of Information Act (FOIA) requests; increasing the rate for document “search, retrieval, review, and redaction” from $16/hr to $48/hr.

August 9: AMDC cancels monthly meeting for second straight month due to lack of a quorum.

August 10-11 In response to a FOIA request, the AMDC reposts most of the invoices previously removed in mid-July, and invoices since April 1, 2022, within a file named “AMDC Financial Binder” is posted to the commission’s “Transparency Page,” https://aikenmdc.org/2022/03/29/project-pascalis-public-records/.  The unannounced posting marks the first change to the AMDC website since the records were removed. 

August 12: In Blake et al vs City of Aiken et al, Attorneys for City Attorney Gary Smith submit “Answer of Defendant Gary Smith.” A review of the answer can be viewed at The Gary Smith Defense: An Admissions, Inconsistencies, and More New Questions Than Answers at the Aiken Chronicles.

August 15: In Blake et al vs. City of Aiken et al, Attorneys for the City of Aiken file:

  1. “Notice of Motion and Motion to Dismiss Defendants Osbon, Brohl, Diggs, Girardeau, Gregory, Price, and Woltz.”
  2. “Answer on Behalf of Defendants City of Aiken, Osbon, Brohl, Diggs, Girardeau, Gregory, Price, and Woltz.” (3. Comments on Motion and Answer) 

August 18: In Blake et al vs City of Aiken et al, Attorneys for the Plaintiff file discovery questions and requests for information:

First Set of Interrogatories to Defendant Rick Osbon

First Set of Requests for Production of Documents to Defendant Rick Osbon

First Set of Interrogatories to All Members of Aiken City Council

First Set of Requests for Production of Documents to all Members of Aiken City Council.

August 22: In Blake et al vs City of Aiken et al, Attorneys for the City of Aiken file: “Notice of Motion and Motion for Protective Order on Behalf of Defendants Osbon, Brohl, Diggs, Girardeau, Gregory, Price, and Woltz;” in response to August 18th discovery issuance. 

August 23-26: AMDC adds thirteen pages of partially redacted documents to its “AMDC Financial Binder.” Four of the documents had been already disclosed by the AMDC prior to mid-July; those copies contained no redactions.

Status as of August 28, 2022

As of August 25, no answer has been forthcoming from attorneys representing the Design Review Board or the Aiken Municipal Development Association. 

The Master Development Agreement (MDA) necessary for any future work appears to be still in negotiation, and time is running short. On December 3, 2021, the Aiken Municipal Development Commission (AMDC) wrote: 

The initial Purchase and Sale Agreement (PSA) announced today gives the AMDC and RPM until no later than Summer 2022 to come to terms on a mutually beneficial Master Development Agreement. (4)

No such agreement has been announced, and the AMDC has not replied to a letter asking for the exact deadline date on the PSA, even though this date is not pertinent to the lawsuit. 

No announcements on the status of the MDA, the second demolition application, or any other aspect of the project such the “omnibus ordinance,” a new redevelopment plan, or the possibility of a non-profit corporation to replace the AMDC has been forthcoming from the City of Aiken. 

The tree growing out of the window on the second floor of the Berkman Building on Laurens Street, above Beyond Bijou, remains. A photo of this tree was first used by the AMDC on November 9, 2021 to illustrate the “blighted status” of its new downtown properties. The AMDC has not acted to remove the tree since that time. 

__________________

References and Notes

(1) This information is contained in the Pope-Flynn law firm’s June 2022 billing invoice to the AMDC, found on Page 161-162. 

(2) Comments on August 15, 2022 motion and answer: 

In the motion to dismiss Mayor Osbon and individual members of City Council, the city’s attorneys cited the South Carolina Tort Claims Act to argue that only a government entity must be named. They argue that individuals are “not proper parties” and “must be dismissed as they are already represented through defendant City of Aiken;” while admitting the City of Aiken was “correctly named the governmental entity” to which the Mayor and City Council belong. In other /words, they argue the City of Aiken can be sued in whole but individuals representing the city are exempt, under Tort law. 

Torts are, by definition, “an act or omission that gives rise to injury or harm to another and amounts to a civil wrong for which courts impose liability.” 

(For more on Tort Law: https://www.law.cornell.edu/wex/tort)

Since the lawsuit is not a tort action and not a liability case, and no damages are being sought, it is unclear why the City’s attorneys are making this argument. 

In the “answer on behalf of defendants,” City attorneys cite the motion to dismiss by arguing,  “Defendants are simply the alter-ego of the City of Aiken, and therefore said Defendants must be dismissed.” The South Carolina Tort Claims Act is cited again, even though the word “Tort” is absent from the July 5th Summons and there is no request for damages, only injunctive relief. 

In total, City attorneys offered sixteen defenses but provided minimal to zero substance for the various defenses; and denied nearly every allegation beyond the fact the City of Aiken is a municipality. 

(3) Comments on “Requests for Production of Documents” and the “Motion for a Protective Order” to exclude individual defendants from discovery. 

The requests for documents is the first basic phase of discovery. It is a request casting a wide net for documentation relating to the project, and includes a request for: 

“Any and all documents and other things, including letters, e-mail, texts, entries in social media, journals, photos, recordings, sketches, videos, logs, diaries, notes, or other written material of any kind in any media in the possession, custody, or control of Defendant or its counsel which relate in any way to the claims or defenses alleged in this action. If Defendant is asserting a privilege, please provide a privilege log.”

The defendant’s lawyers responded to the plaintiff’s request for the production of documents by arguing that individual city council members and the Mayor 

“should not have to respond to Plaintiff’s discovery requests until a ruling has been made on their pending Motion to Dismiss.” 

If the Motion to Dismiss the individual council members and the Mayor is denied, then the individuals will be subjected to the rules of discovery. If the motion is approved, any official business conducted by city council members and the Mayor will remain subject to the rules of discovery, because the City of Aiken will remain a defendant. 

(4) The AMDC announcement from December 3, 2021 also reads:

“The agreement will include complete designs, engineering and permitting required to move forward with Project Pascalis. Any such development agreement would establish, among other things, the price the developer would pay for the property, and the amount the developers would be required to invest in the proposed privately funded, owned/operated hotel and residential portions of the project. The AMDC also intends for the agreement to hold the project to strict completion deadlines that will ensure it moves at a deliberate pace and avoids potential delays. The Master Development Agreement being negotiated would also establish fixed pricing for the proposed conference center and parking facility that would be purchased by the City of Aiken upon completion.”

From: 
AMDC begins Development Agreement negotiations
Dec 3, 2021

The Aiken Planning Commission and Project Pascalis: More Ethical Dilemmas on the Horizon?

What would happen if the $100 million plus downtown Aiken demolition and reconstruction endeavor known as Project Pascalis were to come up before the Aiken Planning Commission? How many of its members would have to recuse themselves due to conflict of interest, or abstain because any perception of neutrality was compromised by past endorsements of the project? 

On November 9, 2021 the Aiken Municipal Development Commission (AMDC) passed a resolution “authorizing the acceptance of certain options to purchase real property from the Greater Aiken Chamber of Commerce in connection with Project Pascalis and other matters related thereto.” 

According to the meeting minutes for that November 9, 2021 meeting, AMDC Executive Director Tim O’Briant described the process leading to that point: 

Mr. O’Briant stated that as we moved through the early process of negotiating with an initial developer who held contracts for the purchase of real estate that we (were) considering the purchase of, negotiations with that group broke down. We had a cost sharing agreement where we were doing pre-development explorations. In exchange for that agreement the developer had granted the Commission the right to maintain those options and contracts on the project to keep the project alive. The developer pulled out so late that it was impossible for the AMDC or Council to act in time to save the contracts by the deadline. The Greater Aiken Chamber of Commerce and their Executive Committee stepped in and agreed to hold those options and make available the sum of $135,000 to pay the earnest money on the contract. Today this resolution will repay the Chamber of Commerce for their advance for the options to purchase the property.

The resolution passed unanimously, although two AMDC members, Vice-Chair Chris Verenes and Treasurer J. David Jameson (better known as President of the Aiken Chamber of Commerce) abstained from the vote. According to the minutes:

The motion was approved by the Commission, with Mr. Verenes and Mr. Jameson abstaining from participating in the discussion and voting on the resolution.

Mr. O’Briant was referring to the chain of events that began around May 1, 2021, a literal “May Day” for the AMDC.  On March 17, 2021,  the AMDC announced it had “identified and recruited an “experienced” and “well capitalized” developer. That developer was not revealed at the time, but it was Weldon Wyatt, and he was backing out of the deal less than forty days after signing the cost sharing agreement cited by O’Briant (see Project Pascalis Property Acquisition Timeline below) .

Project Pascalis Property Acquisition Timeline (2)


March 2, 2021: $7.5 million purchase and sale agreement (PSA) signed by WTC Investments, LLC* for “Shah Property” on Laurens St, Richland Ave, and Newberry St. 

March 15, 2021: Aiken Alley Holdings (Agent; Ray Massey) purchases 210 and 200 The Alley for $2.025 million. 

March 23, 2021: Aiken Municipal Development Association (AMDC) and GAC, LLC (Agent Weldon Wyatt) sign cost-sharing agreement with options for AMDC to buy properties obtained by GAC, LLC and its affiliates (WTC Investments)

April 4, 2021:  Smith, Massey, Brodie, Guynn, and Mayes, LLC (Agent Gary Smith III) send $6800 Invoice for property acquisition work to WTC Investments*

April 15, 2021: $2.0 million PSA signed by WTC Investments* for “Anderson Property”

May 1-10, 2021: GAC, LLC withdraws from cost-sharing agreement. AMDC, Aiken Chamber of Commerce (the Chamber) and WTC Investments, LLC* negotiate “assignment” of Shah and Anderson properties to the Chamber allowing WTC Investments to recover $135,000 in nonrefundable earnest money held by Smith, Massey et al. 

May 12, 2021: The Chamber Aiken takes assignment of “Shah Property” from WTC Investments, LLC (Agent Ray Massey). 

June 3, 2021: The Chamber  takes assignment of “Anderson Property” from WTC Investments, LLC

June 3, 2021: Email from WTC Investments to Mary Guynn and Ray Massey requesting release of $35,000 Earnest Money for “Anderson Property.” 

June 7, 2021: Aiken Alley Holdings, LLC purchases 121 Newberry St, SW for $675,000. 

August 23, 2021: Aiken City Council authorizes $10 million in general obligation bonds for AMDC to purchase unspecified properties in the city’s Parkway District. 

October 27, 2021: RPM Development Partners, LLC (Agent Ray Massey) registers with SC Secretary of State. 

November 9, 2021: AMDC “accepts assignment” of Shah and Anderson properties from the Chamber for $9.5 million. 

December 3, 2021: AMDC signs PSA for Shah and Anderson properties with RPM Development Partners for unspecified sum, pending demolition approvals and a final development agreement. 

May 16, 2021: AMDC reports it will sell properties at a discount as a “one time incentive.” 

*WTC Investments, LLC dissolved on January 4, 2021 and re-registered with the South Carolina Secretary of State on May 11, 2021. Ray Massey was agent for both entities. 

__________________

In order to preserve the option to purchase the seven properties in the proposed Project Pascalis demolition zone, the AMDC and the Aiken Chamber of Commerce struck a deal with Wyatt’s WTC Investments, LLC that allowed Wyatt to recover $135,000 in earnest money deposited with the law firm of Smith, Massey, Brodie, Guynn, and Maynes. 

As Tim O’Briant described, the Chamber essentially advanced the AMDC $9.5 million, also known as taking “assignment” of the properties, while the AMDC hustled the Aiken City Council for its own  $9.5 million to buy the properties. The council obliged in August, 2021 with a $10 million general obligations bond issuance prepared by the law firm of Pope-Flynn. The AMDC finalized the deal on November 9, 2021 by purchasing the properties. 

The Aiken Chamber of Commerce Executive Committee is currently composed of  Norman Dunagan, Jason Rabun, Charlie Hartz, Joe Lewis, Van Smith, Ryan Reynolds, and J. David Jameson.  Both Rabun and Reynolds also serve on the Planning Commission: 

  • Planning Commission Chair Ryan Reynolds is the “Immediate Past-Chair” of the Aiken Chamber of Commerce Executive Committee. Reynolds was the Chamber’s Executive Committee Chair during the Wyatt-AMDC-Chamber of Commerce deal. 
  • Planning Commission Vice-Chair Jason Rabun is the “Chair-Elect & Membership Services” officer for the Aiken Chamber of Commerce Executive Committee. Rabun was a newly elected Chamber Board member in 2021. 

Jason Rabun also submitted a brief comment during the second of two April 20, 2021 Project Pascalis public meetings. (3) While not identifying his affiliations, he wrote: 

“I am very much in support of this project.” 

GIven the deep involvement of the Aiken Chamber of Commerce and Chamber President Jameson’s abstention from a key vote involving the Project, are Planning Commission members Rabun and Reynolds also obliged to recuse or abstain if any Project Pascalis issues come before their purview? 

___________________

(1) AMDC Meeting Minutes for November 9, 2021:
https://edoc.cityofaikensc.gov/WebLink/DocView.aspx?id=2685557&dbid=0&repo=City-of-Aiken-LF

(3) Jason Rabun comments in April 20, 2021 Zoom meeting

Click above to view full size