California
California lawmaker moves to stop contractor ‘money grab'
For months now, NBC Bay Area has responded to viewers’ heartbreaking complaints. They say they lost tens of thousands of dollars each when an ADU builder imploded and went bust. Now, a local lawmaker is proposing statewide change to prevent what he called a money grab. “It was your investigative reporting that flagged this for us,” said California Assemblyman Marc Berman, who represents the peninsula and part of San Jose.
Backstory of the bust
The controversy hits home for Lara Zanzucchi in Martinez.
“It’s devastating, because you don’t know if you can finish your project,” she said. The backyard ADU for her mom is finally taking shape — albeit two years later than expected and about $40-thousand over budget. She points broadly as she stands inside the unfinished ADU. “Everything here is from the contractor that took me on when Anchored took my money and ran.”
‘Anchored’ is Anchored Tiny Homes, the business that many Bay Area homeowners tell us took big money up front, but then failed to deliver. Girija in Cupertino says Anchored took almost $32,000; Maria in Walnut Creek says she’s out $40,000; in Oakland, Alan says he’s out $80,000. The largest case we’ve seen is Steve Sonza in Rohnert Park. His family has nothing to show in their backyard for the $315,700 of their money that Anchored Tiny Homes got. “It’s clear the law was broken,” Sonza said.
We started investigating. Anchored tiny homes quickly closed its office and went belly up. The state contractor board recently revoked its license. “This is accountability,” said Katherine White with the CA Contractors State License Board. “This is the biggest step that CSLB can take.”
$100M Business?
Anchored Tiny Homes’ former CEO boasted online that the builder was booming. “I can tell you right now, a $100 million dollar business,” said Colton Paulhus on his now defunct podcast.
But now, Paulhus and his co-founder brother, Austin, have filed for bankruptcy. They’ve told the court their customers’ money is gone. Colton Paulhus told NBC Bay Area that Anchored was just a “failed, mismanaged growing business.” Their attorneys have declined to comment.
Customers are frustrated. “It’s a sense of absolute violation,” Zanzucchi said. And recently, another ADU builder near L.A. also imploded.
Asm. Berman saw the stories and is taking action. “I learned about it from your stories, and I really appreciate you doing that investigative reporting,” he said. “Sometimes, that’s how we find out about things.”
Calls for change, answered
He says California law needs new teeth. So, he’s proposing a stiff new penalty for contractors who take too much money up front or collect progress payments without actually making progress. “Up to $10-thousand dollars per case,” he explained. “We want it to be a really severe penalty if people violate this. That’s righteous. we should have that.”
Berman just filed a bill to add that new penalty to state law. He believes it should scare off bad guys and protect families like yours. “We don’t want to create any incentive for fly-by-night bad actors to say, ‘oh, here’s an opportunity for a massive money grab… we can just disappear or go bankrupt.’”
The proposed reform to California law is too late for Anchored Tiny Homes’ customers, like Lara. “I recognize I won’t get my $40 thousand. it’s probably to the wind.” She’s encouraging Berman’s colleagues in the legislature to vote yes and for Governor Newsom to sign the contractor bill into law asap .
“Without the law changing, they have free rein,” she said.
Zanzucchi says she hopes the legislature also dramatically increases the bond contractors are required to carry – to protect consumers like you. Many anchored customers tell us they lost thousands, but will only get a few dollars from the bond… because it’s divided up over so many customers.
A tip to our team launched our investigation. If you have a tip or a consumer complaint, snap the qr code on screen to fill out our consumer complaint form online.
California
HGTV names 2 Northern California towns amongst best suburbs in the U.S.
Five favorite walkable, bikable cities in America
USA TODAY 10Best readers voted these five cities as the most walkable in the nation. Check out the full list of 10 Most Walkable Cities on 10Best.com.
Scott L. Hall, USA TODAY
A lifestyle television network recently released a list on its website of the hottest suburbs in the city, with two in California
Home and Garden Television, or HGTV as it’s most commonly known, released its list of the 20 hottest suburbs in the country for those hoping to escape city life.
HGTV partnered with Suburban Jungle, a website that advises people move from cities to suburbs, to create the list.
The channel’s website cited entertainment, seasonal festivals and local theater programs as just a few perks to suburban living.
So, what are the best suburbs according to HGTV?
What are the best suburbs in the U.S.?
Among the list of the 20 hottest suburbs around the U.S., two California towns near San Francisco made the cut.
Mill Valley, a small town in Marin County, has an estimated population of about 13,904 as of 2024.
The city is just outside San Francisco and is known for its Mill Valley Film Festival amd live performances at Sweetwater Music Hall or Throckmorton Theater are available to residents.
“Mill Valley has a one-of-a-kind natural environment and access to nature: It borders Muir Woods National Monument, Golden Gate National Recreation Area, Mount Tamalpais State Park and the San Francisco Bay,” said Pam Goldman, head Bay Area strategist for Suburban Jungle to HGTV.
Redwood City was the second California town among the hottest suburbs in the country. It is located in the heart of Silicon Valley and about 27 miles from San Francisco, HGTV says.
The city has an estimated population of 82,982 as of 2024 and several tech companies. Despite the tech presence, the town maintains a close-knit feel and has several year-round community events on Broadway, as well as seasonal events such as Oktoberfest and Music on the Square, the home and garden website said.
“Redwood City has lots of energy and youthful vibes, and it’s also right between San Francisco and San Jose,” Goodman said.
Top 20 hottest suburbs, according to HGTV:
- Chappaqua, New York
- Larchmont, New York
- Summit, New Jersey
- Port Washington, New York
- Greenwich, Connecticut
- Westport, Connecticut
- Glencoe, Illinois
- La Grange, Illinois
- Needham, Massachusetts
- Winchester, Massachusetts
- Lafayette, Colorado
- Littleton, Colorado
- Bethesda, Maryland
- Fairfax, Virginia
- Boca Raton, Florida
- Wesley Chapel, Florida
- Mill Valley, California
- Redwood City, California
- Dunwoody, Georgia
- Milton, Georgia
Ernesto Centeno Araujo covers breaking news for the Ventura County Star. He can be reached at ecentenoaraujo@vcstar.com, 805-437-0224 or @ecentenoaraujo on Instagram and X.
California
Contributor: California law limiting bail is clear. Will judges keep ignoring it?
Gerald Kowalczyk tried to buy a hamburger with credit cards he found on the floor. Then, while presumed innocent, he spent months in a California jail — not because a judge determined he was dangerous, not because he threatened anyone, but because the court set bail at $75,000 for a man who couldn’t afford it, then simply denied bail altogether, in defiance of the law. Last week, the California Supreme Court unanimously said no more. The court held that pretrial liberty is the norm; incarceration before conviction for any crime is the rare, carefully limited exception. If courts choose to condition freedom on a monetary payment it “must” be “an amount that is reasonable.”
For years, California courts ran an unconstitutional shadow detention system. The mechanics were straightforward: Set bail at an amount the defendant cannot pay and the result is the same as ordering detention outright. As the court explained in its Kowalczyk ruling, pretrial detention requires strong evidence of a serious charge and “clear and convincing evidence establishing a substantial likelihood that the defendant’s release would result in great bodily harm to others.” Instead, as Justice Joshua P. Groban explains in concurrence, courts have used money bail to detain poor people accused of nonviolent offenses with “devastating repercussions for their employment, education, housing, access to public benefits, immigration status, and family stability.”
This wasn’t a bug. It was the system.
Last week’s ruling closes that loophole — unambiguously and unanimously. Courts can no longer use unaffordable bail as a backdoor detention order. Where detention isn’t authorized, bail must be set at an attainable amount, based on the defendant’s actual circumstances. The ruling builds directly on the Humphrey precedent from 2021, a California Supreme Court decision that first held wealth-based detention unconstitutional and a case I helped bring.
I know how hard these victories are to win. I also know how easily they can be ignored.
Even after Humphrey was decided, across Santa Clara, San Mateo and Alameda counties, judges asked about a defendant’s financial circumstances exactly once out of nearly 250 observed cases. In more than 95% of hearings, judges cited no legal standard at all when ordering detention. More than 90% of people jailed pretrial were charged with offenses that didn’t even qualify for detention under the California Constitution: shoplifting, driving without a license, vandalism. These findings came from Silicon Valley De-Bug, a community organization whose members spent years watching what happens in arraignment courtrooms.
The system didn’t follow the rules set out in Humphrey. We must ensure the system makes good on the unanimous ruling in Kowalczyk.
Start with public defense. California is one of just two states that contributes no funding to trial-level public defense, leaving the 58 counties with no state standards or oversight. The result is a patchwork of wildly unequal and inadequate representation. Last week’s ruling requires courts to make individualized findings about flight risk, public safety, alternative release conditions and ability to pay — which means defense attorneys must be present at or before arraignment, prepared to make ability-to-pay arguments, demand findings and challenge unaffordable bail on the record. In counties where public defenders carry caseloads of 100 or more, that is not happening. It cannot happen without resources.
Then there is the question of alternatives. The ruling requires judges to consider conditions of release — drug treatment, check-ins, social services referrals, in serious cases ankle monitoring — before resorting to money bail or detention. But these options exist only where counties have invested in pretrial services outside of law enforcement, programs such as San Francisco’s Pretrial Diversion Project. Most haven’t. A constitutional right to alternatives is hollow without alternatives for judges to choose from.
Finally, the Judicial Council, which makes policy for California courts, should establish monitoring standards, reporting requirements and training protocols that ensure courts no longer impose unnecessary or unconstitutional pretrial incarceration.
Kenneth Humphrey spent 250 days in jail for $5 and a bottle of cologne. Gerald Kowalczyk spent months inside for a hamburger. Behind each of them are tens of thousands of Californians who spent similar time behind bars unjustly, who lost jobs and homes and custody of their children, because the system treated their poverty as grounds for imprisonment.
The Supreme Court has now said clearly what our Constitution has since 1849: Pretrial liberty is the norm. Pretrial detention is the carefully limited exception. There is a good reason for the presumption of innocence: 1 in 3 California arrests does not lead to any conviction, and upending people’s lives by jailing them pretrial is so destabilizing it actually increases future crime.
Let’s ensure this presumption of innocence means something in practice if you, or your loved one, need it.
Chesa Boudin is the former district attorney of San Francisco and the executive director of the Criminal Law & Justice Center at UC Berkeley School of Law.
California
29 youths busted with fake IDs at California restaurant
Twenty-nine people were busted with fake IDs inside a sushi restaurant on California’s Central Coast on April 23, according to the San Luis Obispo Police Department.
Undercover agents with the California Department of Alcoholic Beverage Control busted the underage drinkers at HaHa Sushi and Ramen on the 1000 block of Olive Street. Inside the restaurant, agents saw “a large group of youthful-appearing individuals” ordering and drinking alcohol, the San Luis Obispo Police Department said.
“In accordance with state law, agents contacted and identified the members of the group, discovering no one was 21 years old and every person was in possession of a fake identification card,” police said.
During the investigation, 29 people were cited and released for possession of a fake ID. Six of these suspects were arrested for being minors in possession of alcohol. All of the suspects were cited and released from custody at the restaurant.
“Preventing the sale of alcoholic beverages to minors helps increase public safety by reducing DUI arrests and collisions,” the San Luis Obispo Police Department said. “Statistics have shown that young people under the age of 21 have a much higher risk of being involved in a collision than older drivers. About 25% of fatal crashes involve underage drinking, according to the National Highway Traffic Safety Administration.”
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