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Chico Citizen Sues City Over Scrap Metal Facility

The City of Chico now faces a lawsuit, two weeks after a Butte County judge ruled the city of Chico must repeal its ordinance allowing the business to remain at East 20th Street or put the matter before voters.

Posted: Jul. 16, 2018 4:00 PM
Updated: Jul. 17, 2018 1:31 PM

UPDATE 07/16/18 11:40 P.M.

Mulholland says the Chico City Council voted Monday night 5-1 to repeal the ordinance that would have allowed the junkyard to stay on East 20th Street.

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UPDATE 07/16/18 5:51 P.M.

CHICO, Calif. -- The City of Chico now faces a lawsuit, two weeks after a Butte County judge ruled the city of Chico must repeal its ordinance allowing the business to remain at East 20th Street or put the matter before voters.

The plaintiff is Bob Mulholland, a Chico resident, known more as a local and state leader of the democratic party.

This issue goes back to 2006 when the city adopted the Chapman-Mulberry neighborhood plan which intended to remove businesses such as Chico Scrap Metal, then put in houses for habitat for humanity and a small commercial strip.

The scrap-yard was asked to relocate by 2011, but the city council pushed the deadline to 2014 and eventually, two years ago, decided to let them stay indefinitely.

Mulholland asked the court to order the city council to take action on the petition, as required by law.

A Butte County judge gave the city 10 days to repeal the ordinance or put it on the ballot for the upcoming election.

Late Saturday night, the city issued a public notice of a special council meeting called for Monday evening at 8. 

"One thing that they listed Saturday night was, let's ask our attorney for all our options, there are no options. The judge ordered it, the judge said repeal or hold an election in November and for some reason they think the judge is not a judge. Well, I think the judge is going to get mad very soon," said Mulholland.

Citizen-group, Move the Junkyard, has called for a referendum, collecting more than 9,000 signatures. This requires the city to repeal the ordinance or put the order before the voters.

There is a closed session meeting scheduled Monday night at the Chico Municipal Center, but afterward, there will be an open-session meeting. 

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CHICO, Calif. - We are following the Chico Scrap Metal facility story closely. A lawsuit against the city of Chico was filed Monday afternoon by resident Bob Mulholland, a vocal opponent of the city's actions that have allowed the scrap metal facility to remain open at its location at 878 East 20th Street.

A special Chico City Council meeting has been scheduled for 8:00 p.m. Monday night, July 16th.

Watch our livestream or broadcast at for the latest on this story from Action News Now reporter Laura Eng.

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