Opinion ID: 728163
Heading Depth: 2
Heading Rank: 5

Heading: Jackson Uses Political Influence to Help the Paradies Companies

Text: 21 From the early 1980's on, the subconcessionaires were engaged in efforts to reduce their rent at the airport. Many amendments to Dobbs' contract with the City were made, reducing the rent that Dobbs charged the subconcessionaires, and in turn, reducing the revenues paid to the City from Dobbs. Jackson concealed his interest in the Paradies Companies, and used his position on the Council to advance the interests of the subconcessionaires. 22 In July of 1987, Jackson voted in favor of Amendment Number Five, which substantially reduced the rent charged to the subconcessionaires. The government claims that Amendment Five cost the city about $1 million. D. Paradies received $1.5 million of the total $2.3 million in rent reduction. 23 In 1989, Jackson supported another rent-reduction proposal that came before the board, and it included contract extensions for the subconcessionaires. Jackson was put on a negotiating team to represent the City against Dobbs. Some of the members of the team argued that only the smaller subconcessionaires should receive further rent reductions. Jackson argued adamantly that the larger subconcessionaires should also receive reductions. He was successful, and Amendment Number Six cost the City $7.7 million. D. Paradies saved over $2.5 million in rent. Interestingly, around the time Amendment Six was being negotiated, Hartsfield Concessions' management fees were raised to 2.0%. Richard Dickson, Paradies' right hand man, testified that the increase was financially indefensible. 24 In October of 1990, the City's Commissioner of Aviation was to retire. The evidence showed that Jackson approached Mayor Maynard Jackson and asked to be appointed in the position. The mayor had heard rumors that Jackson had some kind of interest in an airport concession, but received assurances from Jackson he owned no such interest. Jackson was eventually appointed Aviation Commissioner. 25 Soon after he took his position, Jackson proposed that the City terminate Dobbs' position as Principal Concessionaire and allow him, as Commissioner of Aviation, to take over the entire concessions program. The government claims that the program would have resulted in over $40 million reduction in revenue to the City. The proposal encountered substantial opposition, and Jackson became indignant toward opponents. The government claims that during the controversy, Paradies and Echols visited the Mayor and the City's Chief Administrative Officer to lobby them to stay close to Jackson and consider his proposal. (Govt.'s Brief at p. 27.) Jackson's proposal was put on the Council's agenda, but the CFO blocked the vote.