San Diego Real Estate Development

Conflict of Interest Allegation Postpones San Diego Affordable Housing Project

Just before the San Diego City Council was going to finalize a $5.85 million project to build over 100 low-income homes in southeastern San Diego, an allegation against Civic San Diego board member Phil Rath postponed the proceedings.  

According to Voice of San Diego, San Diegans for Open Government sent a letter to the city alleging that, since 2013, Rath had been a registered lobbyist of nonprofit developer Affirmed Housing Group, a conflict of interest to the project. Affirmed Housing Group was selected by Civic San Diego in June 2016 (over two other teams) to develop the lot of the Hilltop and Euclid property. 

Theresa Quiroz of San Diegans for Open Government wrote a letter to the City Council outlining their concerns.

“This conflict of interest has tainted the selection of and proposed transaction with Affirmed Housing Group. No action short of complete rejection and disqualification of Affirmed Housing Group can cure this actual and/or perceived conflict of interest.”

Rath said that there is no conflict of interest as before he joined the Civic board he had a financial relationship with Affirmed.

The hearing for the project has been rescheduled for early January.

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