LAFCO Calls Anti-Cityhood Study Manipulated

A nonprofit research arm of the San Diego Assn. of Governments was accused Friday of manipulating data in its study to show that Fallbrook incorporation would be “a risk-taking venture.”

Jane Merrill, executive officer of Local Agency Formation Commission, a state agency overseeing local incorporations and other boundary changes, called the study by SourcePoint, released by foes of Fallbrook cityhood, “flawed.” Merrill charged that the research firm knew it was using outdated information but did so in order to reach the conclusions desired by its client, a group opposing Fallbrook incorporation.

The SourcePoint report predicts that the North County community could be as much as $90,000 in debt by 1990 if its residents approve incorporation in the June 7 election.

The SourcePoint analysis was released at a Fallbrook meeting Thursday night attended by about 300 residents. It was commissioned by the anti-incorporation group Fact Finders.

Figures Disputed

Merrill, pointing out that the SourcePoint study was an analysis of an earlier financial feasibility study done for incorporation advocates, said that the Sandag agency used findings that were later discarded when more current figures became available.

The earlier report, prepared by Christensen & Wallace of Oceanside, projected that Fallbrook would be under a tight budget during its first years of cityhood but would remain solvent.

“I am not at all surprised that SourcePoint’s report shows that it is not financially feasible for Fallbrook to incorporate,” Merrill said. “However, I am surprised and dismayed by the lack of professionalism shown by the report.

“Because it relies on fundamentally flawed data, the credibility of the entire report must be seriously questioned,” the LAFCO executive said in a statement released Friday. SourcePoint project manager of the Fallbrook analysis, Marney Cox, could not be reached for comment.

Merrill said that the SourcePoint study “has done a disservice to the community” by adding to the confusion surrounding the financial feasibility of incorporation.

“If SourcePoint had prepared its report prior to the LAFCO public hearings on incorporation, it would have been analyzed by LAFCO and the public as part of the public review process,” she stated. “But the public hearings are over and only the election remains.”

Merrill urged the Fallbrook community to treat SourcePoint as “any other consultant whose conclusions reflect the position of the client” and not assign it special credibility because of its nonprofit status and its connection with Sandag.

LAFCO, basing its action on the Christensen & Wallace study and its own analysis, earlier approved the incorporation, finding that Fallbrook is financially able to assume control over its own affairs, which are now controlled by the county Board of Supervisors.