By Leslie Wolf Branscomb
Things got ugly.
Lawyers were hired, meetings held, fliers distributed and rumors flew. Was it a power grab by the Hillcrest Business Improvement Association? Did they think another organizer could bring in more money? Or was it, as the association claimed, a matter of ethics and the need to clean up an outdated contract?
In the end, Larson kept his job, the association got its new contract, and everyone went away happy, more or less.
But for a time the controversy brought vendors and the community together to rally behind one of Hillcrest’s most popular regular events.
“I’m here to support David because he’s a great friend,” said Cliff Davis, one of many market vendors who descended upon a June 9 meeting of the Hillcrest Business Improvement Association board. “I have worked at several other markets, and this market is so well run,” Davis said. “He has our universal support.”
Part of what makes the Hillcrest market unique is its street fair vibe: it’s not all about organic vegetables – there is also entertainment, art and crafts from around the world. Davis sells items imported from Southeast Asia, primarily Thai silk. Another vendor, Kriszta Micsinai, sells hand-crafted European jewelry.
The market, which takes place in the Department of Motor Vehicles parking lot on Normal Street every Sunday from 9 a.m.-2 p.m., began in 1997. The business association wanted to attract more people to Hillcrest, and the market has been a great success, said board member Glenn Younger.
Larson was hired to run it, and operated at first without a contract. A short contract was drawn up in 2000.
However, that contract was inadequate, which wasn’t noticed until recently when treasurer Cecelia Moreno identified some shortcomings, according to the association’s executive director, Benjamin Nicholls. “She asked some questions and one thing led to another,” Nicholls said.
The contract needed to clarify who actually owned and ran the market, Nicholls said. Issues regarding taxes, workers compensation and insurance had to be worked out.
Plus there was an ethical question about whether it was a conflict of interest for Larson to hire family members to work at the market when the business association is partially funded by the city. City code prohibits enriching your own family, Nicholls explained.
However, Nicholls said, Larson refused to negotiate for three months, and it wasn’t until the association threatened to cancel his contract and fire him that he finally came to the bargaining table.
Soon, word was out that Larson might no longer operate the market, and the vendors were up in arms.
“David started it. He nursed this thing for 12 years,” said Tasha Bonsignore, who came to the board meeting in support of Larson. “It’s like taking his baby away.”
“I think that some board members saw a chance for a bigger profit margin,” said Sissy Isham, a former HBIA board member who regularly shops at the market. “I think they were not being fair to David.”
Nicholls said it was never about profit. The profit-sharing arrangement between Larson and the association remains the same, he said. The market nets about $300,000 a year, and Larson and the association split the profits 50-50.
Prior to the meeting, some board members realized that a compromise was needed. Younger said he and fellow member Nick Moede met with Larson and hammered out an acceptable new contract. “I think David’s feelings were hurt more than anything, and I understand that,” Younger said. “So we got past that and did something that was good for the vendors, the customers and the community.”
While the business association’s board deliberated on his fate, behind closed doors at the June 9 meeting, Larson remained upbeat.
“There really wasn’t anything that prompted it,” he said of the association’s sudden desire to re-examine his contract. “There were never any problems or complaints. It’s just been wonderful.”
They said there were loopholes in the contract, and that it was too brief, Larson said. What once was a one-page contract is now 11 pages. The association now wants copies of all Larson’s agreements with his vendors.
“Initially, it frightened me. It sounded like a takeover,” Larson said. “But today I think we’ll have a win here.”
Moments later, the board voted to approve the new contract. The news was met with loud applause from the dozens gathered outside the meeting room.
Larson patted his lawyer on the shoulder, accepted handshakes from well-wishers. Then he got back to work.
Leslie Wolf Branscomb has been an editor and journalist for 27 years, writing primarily about politics and law for the San Diego Union-Tribune, Los Angeles Times, Associated Press and others.